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Status: Please note you should read all Brexit changes to the FCA Handbook and BTS alongside the main FCA transitional directions. Where these directions apply the 'standstill', firms have the choice between complying with the pre-IP completion day rules, or the post-IP completion day rules. To see a full list of Handbook modules affected, please see Annex B to the main FCA transitional directions.

exchange traded product

    157any of the following investments:

      1. (a) a unit or share in an open-ended investment company88, a debt security or a contract for differences which meets all of the following criteria:
        1. (i) it is admitted to trading 88on a regulated market, an EU regulated market137 or a market operated by a ROIE88;
        1. (ii) it is created and redeemed in response to demand from investors or arbitrage opportunities arising from the difference in price from the unit, share, debt security or contract for differences and the price of the underlying asset(s) it seeks to track;
        1. (iii) it aims to closely simulate the performance of a specified index or other benchmark (relating to any assets such as shares, debentures, commodities or currencies), whether or not the simulated performance is delta 1, inverse, leveraged, achieved by physical replication or synthetically through derivatives.
      1. (b) a senior, unsubordinated debt security traded on a regulated market or a market operated by a ROIE88 featuring no periodic coupon payments and whose return tracks the performance of a specific index or other benchmark (relating to any assets such as shares, debentures, commodities or currencies), minus applicable fees, whether or not featuring delta 1, inverse or leveraged exposure to the index or other benchmark being tracked.