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Understanding Exchange Traded Funds

Exchange Traded Funds are now firmly established in the investment world. But how do they actually work? Originally designed as simple, user friendly, passive, Equity Index tracking vehicles, their evolution has created several different types of product, across the Asset Classes, with each one requiring different approaches in due diligence.
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About The Course

While the external ‘packaging’ might look similar, the risks underneath vary considerably.

 

Who should attend?

  • Risk Managers
  • Regulators responsible for Fund Managers
  • Pension Fund Managers
  • Sovereign Wealth Fund Managers
  • Financial Journalists
  • New Financial Markets employees

Learning Objectives

At the end of the course delegates should have a broad understanding of the following subject areas.

  • ETFs & traditional Index Funds compared
  • Understanding ETFs, the replication mechanism
  • Synthetic Swap-based vs Physically backed ETFs – Counterparty risk
  • Primary (Redemption, Creation process) & Secondary markets
  • Authorised Participants, Portfolio Composition Files
  • Real time pricing & Arbitrage opportunities, Fees, Dividends
  • Tracking error measurement
  • Deciding on which ETFs to employ – structure, transparency, cost, liquidity
  • Core vs Satellite investing
  • ETF Variations on a theme – Inverse, Leveraged, Thematic, Active
  • ETFs on Commodities, Currencies, Bonds
  • Commodity ETFs – Issues to consider – Futures or Physicals?
  • Impact of behavioural factors on security market risk

Prerequisites

This course has no prerequisites.

Duration

Half Day

What Our Clients Say

At Quartic we teach investing with a passion, inspiring delegates of all levels. From exam courses to bespoke executive programmes, the Quartic team prides itself on making our courses highly interactive and enjoyable to attend, whether in person or online.

★★★★★ 5/5

Your online platform and study materials were absolutely instrumental in my preparation. The comprehensive content, practice exams, and especially the insightful explanations provided a solid foundation for my understanding. I truly believe that without the support and quality of Quartic’s resources, this achievement would have been much more challenging to attain.

Thank you for your dedication to creating top-notch educational tools that make a real difference in the lives of students like me. Your commitment to excellence has paid off, and I am incredibly grateful for the knowledge and confidence I gained from using your platform.

Sarvarjon Pulatov
Multinational Development Bank
★★★★★ 5/5

I used to be a Quartic student, and I remain deeply grateful for the foundational training I received. I still vividly remember Mr. Nicholas Blain’s teaching, which not only laid a solid foundation for me but also sparked my enduring interest in the industry.

Rhea Zhang 
Bank of China
★★★★★ 5/5

Today I passed my CFA level 1 exam and wanted to thank you for your great materials and your passion for sharing the knowledge. I really enjoyed watching your videos 😃

Bartosz 
★★★★★ 5/5

Thank you very much for all your support, I will be definitely recommending your service to my colleagues as it was a fantastic experience 🙂

Barbara 
★★★★★ 5/5

The tutors were enthusiastic, the classes enjoyable, the explanations clear and intuitive, and with excellent teaching materials Quartic helped me to pass each level at first attempt.

Kate Kalashnikova, CFA ACA
Analyst
★★★★★ 5/5

Nicholas is one of the best tutors I have ever studied under. His unique ability is to explain complicated concepts in simple words and graphics, passing on his excellent grasp of the subject.

Alroy Dcruz, CFA
Business Consultant

Free Online Demo For Understanding Exchange Traded Funds

Please complete the online demo download form to gain access to the interactive learning experience.

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