Q: hello 5i:
could you comment on the liquidity for this ETF? Is there something of the same vein that would have better liquidity?
thanks
Paul L
could you comment on the liquidity for this ETF? Is there something of the same vein that would have better liquidity?
thanks
Paul L
5i Research Answer:
It is a $452M fund, and while daily trading is not high, keep in mind that the market maker can create new units with buy orders and redeem units with sell orders, if there are not enough matching orders on each side. If one is not a trader, we think one could own $100,000 worth of this ETF without many buy/sell issues. There are similar funds, but in Canada NXF is one of the largest and we would see greater liquidity issues with the others. QYLD may be of interest, but it is US-listed. But it has $7.9B in assets and trades millions of units daily.