FLOKI will be launched on ETP next year. Some people ask what ETP is. ETP stands for Exchange-Traded Products, which are similar to ETF fund securities, equivalent to mutual fund stocks that anyone can purchase without needing an exchange. You can also buy products with FLOKI.
ETP is an abbreviation for Exchange-Traded Products. In Europe, ETP mainly includes the following categories:
Exchange-Traded Funds (ETF)
- This is a significant part of ETP in Europe. It is an open-end fund with variable shares that is traded on an exchange. For example, investors can trade ETF shares on the securities market just like buying and selling stocks. Many European ETFs track specific indices, such as the FTSE 100 Index ETF, whose price fluctuations closely follow the performance of the FTSE 100 Index, allowing investors to achieve exposure to a basket of stocks at a lower cost.
Exchange-Traded Notes (ETN)
- This is an unsecured debt security. Its returns are usually linked to the performance of an underlying market index or other assets. Unlike ETFs, ETNs are the issuer's debt, and investors face the credit risk of the issuer.
European ETPs provide investors with a diverse range of investment tools, including investments in stocks, bonds, commodities, and various asset classes, and they are convenient to trade, relatively low in cost, and have high transparency, playing an important role in the European financial market.
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