An ETF in simple terms for the financially challenged is a financial product. That is why you need a financial services licence if you are advising clients to invest in an ETF because the regulators also clearly deem it as a financial product.
For your benefit please see the definition below.
Anexchange-traded fund(ETF) is an investment fund traded on stock exchanges, much like stocks. AnETFholds assets such as stocks, commodities, or bonds and generally operates with an arbitrage mechanism designed to keep it trading close to its netassetvalue, although deviations can occasionally occur.
