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An AI model extracted this from the bill’s official record and can make mistakes. Check the official text ↗ (opens in new tab)

Covered financial instrument

An investment like an individual stock, security future, commodity, or an economic interest acquired through synthetic means (like an option). It specifically excludes diversified mutual funds, diversified exchange-traded funds (ETFs), and U.S. Treasury bills, notes, or bonds.

Security

A tradable financial asset, such as a stock or bond, that represents an ownership position in a publicly-traded corporation, a creditor relationship with a governmental body or a corporation, or rights to ownership as represented by an option.

Commodity

A raw material or primary agricultural product that can be bought and sold, such as gold, oil, wheat, or corn.

Diversified mutual fund

An investment vehicle that pools money from many investors to purchase a variety of securities, such as stocks and bonds, managed by a professional fund manager, typically aiming to spread risk across many different investments.

Exchange-traded fund (ETF)

A type of investment fund that holds a collection of assets like stocks, bonds, or commodities, and trades on stock exchanges like individual stocks. A 'diversified' ETF would hold a broad range of these assets.

Derivative

A financial contract that gets its value from an underlying asset, group of assets, or benchmark. Examples include options and warrants, which allow someone to buy or sell an asset at a specific price by a certain date.