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Stocks

Income Deposit Security (IDS)

A popular financial product known as an exchange-traded fund (ETF) combines a subordinated debt security and common stock to create a tax-efficient method of distributing a company's excess cash flow to shareholders. This allows investors to receive both dividends from the common stock and interest from the subordinated debt, making it an attractive option for many. This type of instrument is often used to diversify an investment portfolio and potentially generate steady income.
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