Deliverable Equities and ETFs
What is ETFs and Deliverable Equities?
Important/Key information about the product:
- An Exchange-Traded Fund (ETF) is a type of investment vehicle that combines the features of both stocks and mutual funds. It is designed to track the performance of a specific index, such as a stock market index or a bond index.
- ETFs are traded on stock exchanges, allowing investors to buy and sell shares throughout the trading day at market prices. This distinguishes them from mutual funds, which are priced once at the end of the trading day.
What is a Deliverable Equities?
Important/Key information about the product:
- Deliverable equity refers to a share of stock or ownership interest in a company that can be physically transferred to an investor upon completing a financial transaction.
- While most transactions are electronically settled, deliverable equity shares signify the underlying ownership interest that can be physically transferred if required.
Why ETFs and Deliverable Equity?
ETFs are convenient investment vehicle for investors to gain exposure to their investment strategies. They can be used as portfolio construction tools or tactical trading instruments.
ETFs have democratized investing for investors by providing investors with access to a wide variety of asset classes, market exposures and investment strategies.
ETFs allow investors to reduce their concentration risk by spreading their investment capital across the underlying assets held by the ETFs, and they enable investors to diversify their portfolio at lower transaction costs.
Benefits of ETFs
- Efficient – lower cost compared to mutual funds
- Transparent – listed on exchanges, intraday price is available
- Flexible – trades like stocks, and comes with portfolio diversification advantage
- Easy access to closed door markets, such as India, China, Middle East, Latin America, etc
- Easy access multiple assets classes, such as commodities, equities, fixed income, private equity, real estates, gold & silver etc
- Dividend payouts for selected ETFs
Benefits of Deliverable Equities
With PhillipCapital Group, you can gain access to over 26 equity exchanges, including prominent ones like NYSE, NASDAQ, LSE, NSE, BSE, SGX, HKEx, SH-HK, SZ-HK, and many others. Our platform provides comprehensive online trading capabilities, available on mobile, web, and desktop versions. We prioritize offering the lowest possible custody fees to enhance your trading experience.
- Ownership and Control: By holding deliverable equity shares, investors have direct ownership and control over the underlying assets of the company.
- Long-Term Investment: Some investors prefer dealing in deliverable equities as a long-term investment strategy.
Here’s How You Take the Next Step Forward
To get access of this product, speak with your relationship manager today. This product is suitable for investors with high risk preference.
