Three reasons for ETNs

1. Using ETNs, investments in niche markets are possible.
   
   
2. Using short products, you can lock into falling prices.
   
   
3. Via Börse Stuttgart all ETNs can be flexibly traded from 8 a.m. to 10 p.m.

Exchange Traded Notes are securities that track an underlying asset in a ratio of 1-to-1 or with leverage. With ETNs you can try and exploit the trend for currencies, interest and equity futures or the volatility. This is possible in both rising and falling markets. And you can invest in cryptocurrencies: At Börse Stuttgart, for example, you can trade ETNs in Bitcoin and Ethereum. It bears mentioning here that the value of ETNs with more exotic underlying assets often fluctuates strongly.

Legally speaking, ETNs are debentures. As an investor you therefore bear the issuer’s credit risk, too. Some securities are collateralized, however, and this reduces the issuer risk. Ancillary costs for these products are relatively low through passive management.