The Irish Stock Exchange today unveiled a new market for exchange traded funds (ETFs).
Similar to tracker bonds, EFTs seeks to match the returns of an index and expose an investor to a more diversified portfolio in one transaction.
The ISEQ 20 ETF will invest in a portfolio of the 20 largest stocks on the Dublin market.
The stock exchange said the ETF offers a low-cost entry to the Irish market, with a 0.5 per cent charge covering all management and service provider fees, as well as the costs of operating the ETF.
The ISE claims this is "significantly lower" than the fees charged by managed funds and other tracker products in the Irish market.
Normal commissions charged by stockbrokers will still have to be paid.
NCB will promote and manage the fund, which is to be chaired by former Central Bank governor Maurice O'Connell.
