That's the biggest lesson investors can learn as the U.S. stock market's historically volatile activity leads to liquidations and de-listings of certain exchange-traded notes, or ETNs, Dave Nadig, chief investment officer and director of research at ETF Trends, told CNBC'sA small, high-yielding corner of the market that's now in focus in a big way, ETNs are quite different from exchange-traded funds, or ETFs, as similar as they may sound, Nadig said.
"It's coming generally from a bank, like a Credit Suisse or a Barclays, and it's promising a certain pattern of returns until that debt matures. These get used primarily for exposures that are difficult to put in a fund wrapper like, say, inverse volatility or leveraged volatility or other interesting patterns of return," Nadig said.
"What happens is these [factors such as inverse volatility,] have to be offset by some bank's risk management desk, and when they lose their appetite to take more of the hedge against that ETN, they really have no option but to close that ETN or de-list it," Nadig said. "We've seen some de-listings, we've seen some closures as these banks are unwilling to keep providing that exposure.
Source: News Formal (newsformal.com)
ETFEdgeCNBC We will survive & re-open! Anti-American Dems will pass the corporate bailout—When they’re sure USA markets are headed to test 2008 lows. The rippling damage has been done...Smart money is out & nibbling on the way down.
ETFEdgeCNBC All the corona problem is because of greedy money. If stock exchange dealing is abolished for once for all, this sort of idiotic outbreaks will not happen.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
How I Shop: 'Little Fires Everywhere' Star Jade PettyjohnThe 19-year-old shares her least favorite '90s trends, plus the essential style lessons she learned from Reese Witherspoon and Kerry Washington.
Source: Fashionista_com - 🏆 474. / 51 Read more »
Cynthia Bailey Says Quarantine Is Testing Her Relationship Big TimeET spoke to the 'Real Housewives of Atlanta' star via video chat from her self-isolation in Los Angeles.
Source: etnow - 🏆 696. / 51 Read more »
3 lessons I learned during the last recession that are relevant now - Business Insider'While I personally learned a lot from the last economic downturn and can make certain choices this time around, supporting universal healthcare and higher wages will ensure that we all survive this next recession'
Source: BusinessInsider - 🏆 729. / 51 Read more »
The Biggest Distance-Learning Experiment In History: Week OneAs schools transition to remote learning, existing inequalities are being exposed: Over half of the nation's public school children live near the poverty line — and an estimated 12 million lack broadband Internet access at home. USA is sadly become almost a 3rd world country Many cable/internet company's are offering families free internet with free instillation during this crisis. Some school districts have hot spots available for those students. Exactly! Folks assume every household with children have computers/iPads with internet. Not the case.
Source: NPR - 🏆 96. / 63 Read more »
Hidden Brain: An Unfinished Lesson on Apple PodcastsA virus is more than a biological organism. It's a social organism. It detects fissures in societies and fault lines between communities. This week on HiddenBrain, historian Nancy Bristow shares the lessons we can take away from a century-old pandemic. HiddenBrain You are FakeNews HiddenBrain Ummm...sorry to tell you, but that is not how biologists use those words. Please put a science journalist on science tweets. HiddenBrain So glad RadicalLeftDemParty propagandists were not around in WWII. 24/7 defamation campaign for political power NEVER for America, Americans, Legal Immigrants. LiberalHack Trump's Approval Hits New High, But A Rally-Around-The-Flag Effect Is Small
Source: NPR - 🏆 96. / 63 Read more »
How to manage a business without a headquartersDistributed firms need novel management practices. Those that have grown up this way offer lessons to those that now need to learn fast As someone who normally spends hours in CA traffic, I hope this work from home thing sticks! It’s so much better for people and the environment. Yeah. More importantly - they burn out easier, because of dumb managers.
Source: TheEconomist - 🏆 6. / 92 Read more »