How to the ETFs in the local market 10 days after its launch

Now, for those who are not very familiar with this instrument, it is important to clarify that an ETF (Exchange Traded Funds) is a hybrid between a common investment fund and an action.Buying an ETF participations means buying an asset portfolio, as with a traditional investment fund but, in the case of ETFs, they quote along the entire stock market, so they can be purchased at any time when themarket is open, like actions (in other words, they are negotiated intradiaria).

In a nutshell, the ETFs follow a reference index.There are ETFs on indices, sectors, subsectors, commodities or any other instrument.Its management is totally passive, since the manager portfolio, that is who administers it, only seeks to identically replicate the behavior of the underlying asset.

Buying an ETF participation is equivalent to buying, in a single operation, all the actions that make up the reference index, so when you buy participations of an ETF, it is known exactly what you are buying.

Cómo les fue a los ETFs en el mercado local a 10 días de su lanzamiento

The number of participations increases and decreases, according to market needs.If the ETF demand increases the management society buy more market actions and creates new ETF participations.

9 ETFS arrived at the local market, 4 that replicate the main indices of the North American market ($ Spy, $ QQQ, $ IWM, $ day), 3 that replicate sectors ($ arkk, $ xle, $ XLF) and 2 that replicate indicesMSCI that reflect the evolution of some international markets ($ EEM, $ EWZ).

Favorites in the local market have been:

Spy evolution last 5 years


Evolution QQQ last 5 years


XLF evolution last 5 years


There is no doubt that these ETFS yields are an extremely attractive instrument for local investors and are one more step towards the inclusion and growth of the Argentine stock market.

PPI digital banking team leader