Does anyone know where you can trade exchange traded funds and how they work. Do they track an index such as the FTSE100 point for point. Are their exchange traded funds for the CAC, DAX, S&P and Dow Jones.
ETFs are like normal shares -but they track the futures -not the cash index - but they do of course move away with the ebb and flow of order flow - but arbing brings them back into line
certainly for the US there are spyders for sp and diamonds for dow - not sure about european ETFs and even the US ones are a bit pointless to trade as you get better leverage and more transparent pricing with the futures anyway
ETFs are like normal shares -but they track the futures -not the cash index - but they do of course move away with the ebb and flow of order flow - but arbing brings them back into line
certainly for the US there are spyders for sp and diamonds for dow - not sure about european ETFs and even the US ones are a bit pointless to trade as you get better leverage and more transparent pricing with the futures anyway
I was looking to trade the Ftse 100 within a self select ISA, I don't think you can trade futures. Do you know if you can trade spyders or diamonds within a ISA.
i think the way it works is that you are only allowed to do things which have been checked out by the authourities as definetly being things that you can lose money on
so unlikly you are allowed to use a semi-logical trading vehicle like an ETF as you actually stand a chance of making money with them - but who knows - maybe they got throught the net!
All the ETF information is on the American Exchange web site at www.amex.com they are all listed long with the contents of the fund, expense eatios ect... Go there first.
