ARBITRAGE OF TRACKING SECURITIES

摘要

A financial product is based on a first fund (12) that is traded on a trading marketplace (16) in a first country. The financial product is registered (18) in the first country. The first fund (12) has the characteristics of being based on an index (30) of securities that are traded in a second, different country. The first fund (12) is arbitragable with a second fund (22) that is based on the index (30) and which is registered (28) in a second different country. The first fund (12) has a creation unit basis (15) that is substantially the same basis as a creation unit basis (25) for the second fund (22). The calculation of the net asset value of the first fund (12) occurs at essentially or exactly the same time that second country fund (22) has its net asset value calculated.