This authorized participation agreement (the „agreement“) is concluded by and between the investment group, Inc. The distributor and ____________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________________LLC (the „Transfer Agent“) and is also subject to recognition and approval by the Dynamic Shares Trust (the „Trust“), a fundraising fund that offers a number of portfolios for which the distributor is the distributor of this series (a „fund“ and collectively the „funds“), only for sections 4 (d) and 12 (c) below. The activated terms that are used here but are not defined are defined in the current prospectus for each fund, as they may be completed or amended from time to time and are included in the trust`s registration statement on Form S-1, as it may be amended from time to time or submitted to the U.S. Securities and Exchange Commission („SEC“) (the current prospectus of each fund). , togeth Authorized participants are responsible for the acquisition of the securities that the ETF wishes to hold. If it`s the S-P 500 index, they`ll buy all of its components (weighted by market capitalization) and deliver them to the sponsor. In return, authorized participants receive a block of assessed shares, what is called a creative unit. Issuers may use the services of one or more authorized participants for a fund. Large active funds generally have more authorized participants. The number of participants also varies between different types of funds.
Shares have on average more authorized subscribers than bonds, perhaps due to the increase in transaction volume. Several authorized participants help improve the liquidity of a specific ETF. Competition tends to keep the exchange of funds close to their fair value. More importantly, other authorized participants are helping to make the market work better. When one party ceases to act as an authorized participant, others see the ETF as a winning opportunity and offer to create or exchange shares. At the same time, the authorized participant concerned has the opportunity to address all internal problems and resume primary market activities.