Listing of ETFs with Dividend Distribution

Increase in the shelf of ETFs offered with possibility of dividend distribution.

Currently all ETFs (Exchange Traded Funds) on the market are benchmarked to total return indices. This means that the dividends generated by the assets that make up the index are reinvested in the ETF itself.

To meet a previous market request, this project aims to provide the launch of ETFs with distribution of dividends to shareholders.

Find out more below.

Project Tags:

Trading

Listed

Completed

Equities

Product benefits

Product sophistication

ETFs with possibility of dividend distribution.

Market development

Increased diversification of ETFs offered to investors.

Learn more about ETFs with dividends

The project aims to increase the product’s sophistication for managers and investors alike.

In accordance with CVM Instruction 359, ETFs (Exchange Traded Funds) can replicate total return or price return indices. The former type reinvests the dividends received from the assets that make up the portfolio in the ETF itself. This is why it is also known as accumulation index.

In the latter type, also known as dividend index, all dividends generated by the assets that make up the index are distributed to shareholders.

This project also seeks to increase the product’s sophistication for both managers and investors, besides increasing the shelf of products available for trading on the market.

Timeline