About Those Bond ETF ‘Discounts’
July 08, 2013 at 09:59 AM EDT
ETFs publish the net asset value, or NAV, of their underlying holdings throughout the day. When the ETF share price is below the NAV, the fund is said to be trading at a discount. When the share price is above the NAV, the ETF is trading at a premium. ETFs have a complex arbitrage mechanism [...]
