Atlantic International Partnership Headlines: Ten tips to safely invest in ETFs

Atlantic International Partnership Headlines: Ten tips to safely invest in ETFs http://www. telegraph. co. uk/finance/personalfinance/investing/8582376/Ten-tips-to-safely-invest-inETFs. html How can you tell if an exchange -traded fund is safe? Here are 10... More

Atlantic International Partnership Headlines: Ten tips to safely invest in ETFs http://www. telegraph. co. uk/finance/personalfinance/investing/8582376/Ten-tips-to-safely-invest-inETFs. html How can you tell if an exchange -traded fund is safe? Here are 10 tips for investors considering ETFs. Look for the UCITS label Any fund which complies with EU undertakings for collective investment in transferable securities (UCITS) statutes will be subject to investor protection rules, such as compulsory diversification to reduce risk. For example, no more than 5pc of these ETFs can be invested in any one share and no more than 10pc can be invested in unapproved securities. Beware exchange-traded products ETPs are often loosely described as ETFs but no ETP qualifies for UCITS, so may hold assets which are difficult to turn back into cash in a hurry. Where’s the beef? Physical ETFs hold the assets on which they are based and so are less risky than synthetic ETFs which rely on financial derivat Less