Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.
Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

An authorised participant (AP) is a recognised body that has a relationship with an ETF provider to create or redeem exchange traded funds (ETFs). Most APs are market makers or large investment houses.

Authorised participant definition

An authorised participant (AP) is a recognised body that has a relationship with an ETF provider to create or redeem exchange traded funds (ETFs). Most APs are market makers or large investment houses.

An authorised participant has the ability to approach an ETF provider with either:

  • The exact number of securities which the ETF provider uses to make an ETF, which the AP will exchange for the ETF itself
  • An ETF, which the AP will exchange for the underlying securities which make up the ETF.

Typically, these exchanges are done in blocks referred to as creation units.

 

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Find accumulated distribution ETFs using our ETF screener or learn more about ETF trading with IG.

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