Efficient solutions for international and domestic ETFs
Exchange Traded Funds
Euroclear Bank
Besides our offering for domestically issued Exchange Traded Funds (ETFs), Euroclear pioneered the development of a more efficient international ETF market - delivering simplicity, flexibility and liquidity and eliminating post-trade complexity.
We worked with exchanges, local depositories, market participants and leading issuers of ETFs to develop a new structure, the International Central Securities Depository model (ICSD model), which has become the preferred method of international ETF issuance, trading and settlement.
In addition to the international ETFs in the Euroclear’s ICSD model, we can also accept domestic Exchange Traded Funds.
Euroclear is connected to many countries worldwide. Domestic ETFs are made eligible depending on investor demand.
Although the majority of ETFs are index-based, aiming to replicate a specific index, the ETF market has developed different types of products to meet a wide variety of investment objectives, creating a diverse marketplace. Euroclear’s comprehensive ICSD model covers all major ETF asset classes.
These include:
- Exchange Traded Funds (ETFs)
- Equity ETFs – aim to track equity indices or sectors
- Bond ETFs – aim to track bond indices
- Money Market ETFs – invest in investment-grade short-term debt for low-risk investment
- Real Estate ETFs – invest in companies involved in real estate
- Multi-Asset ETFs – aim to have a diversified portfolio of assets to minimise risk
- Commodity ETFs – aim to track price performance of commodities such as oil, gas, etc.
- Precious Metals ETFs – aim to track price performance of gold and other precious metals
- Crypto backed ETFs – aim to track price performance of bitcoin and other cryptocurrencies
- Other Exchange Traded Products (ETPs) such as Exchange Traded Notes (ETN) and Exchange Traded Commodities (ETC)