What are Exchange Traded Notes (ETNs)?

ETNs are debt securities of the issuer that trade like an ETF. The issuer does not guarantee any return of principal at maturity and they do not pay any interest during the note’s term. The note’s investment return, at maturity, is linked to the return of the underlying index, less expenses. ETNs do carry credit risk linked back to the issuer.

Note: ETNs can offer investors long and short exposure to commodities and currencies and leveraged exposure.

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