Exchange Traded Commodity: Difference between revisions
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imported>Doug Williamson (Create page. Source: LSEG https://www.lseg.com/sites/default/files/content/documents/DEF%20ETC_mar014_ENG_008.pdf) |
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These tasks are undertaken by the issuer. | These tasks are undertaken by the issuer. | ||
''Source: London Stock Exchange Group'' | |||
Latest revision as of 23:08, 11 April 2021
Investment - securities - commodities.
(ETC).
Exchange Traded Commodities are tradeable securities backed by a direct investment by the issuer in commodities or commodities derivative contracts.
Accordingly, the price of the ETC is closely linked to the price of the underlying commodity - or commodity index.
An advantage of ETCs for investors - particularly retail investors - is that they give exposure to the market price of a commodity - or a
commodity index - without the need for the administration and cost of
managing derivative or other contracts.
These tasks are undertaken by the issuer.
Source: London Stock Exchange Group