Kryptolesson #27

What is an ETI?

Exchange Traded Instruments, short ETIs, are a form of financial exchange-traded products, ETPs. They constitute a special form of exchange-traded, secured index certificates. Through their unique setup, ETIs provide a way to overcome restrictions where several investment strategies cannot be replicated within a mutual fund in the European market.

ETIs are specifically geared towards providing private investors a comprehensive solution to optimize their systematic risk and invest in alternative investments. In other words, they are “mini-format-hedgefonds” allowing for public participation with amounts starting with as little as 1.000€. Investors can trade ETIs on regular stock exchange markets, where an independent market maker secures liquidity.

In the case of kryptobest and sustainliquid, the ETI is simply a derivative security repackaging and reflecting the value of actively managed portfolios over time.

Photo by Ali Shoaee