Comment on ETF - Exchange Traded Funds
commented on
16 Jun 2016, 04:59 PM
The AMC defines an objective and invests accordingly. Every unit of the ETF has to be backed by a “creation unit”. One creation unit is the denomination of underlying assets that can be redeemed for a certain number of ETF shares. So in the worst case scenario the underlying asset can be sold and the funds be recovered. You can post this query on http://tradingqna.com/ to get more responses.