In the late 1980s, a physicist named Nathan Most was working at the American Stock Exchange. His background was not that of a traditional banker or trader, but rather he had been responsible for the transportation of metals and bulk commodities in the logistics field. This unique experience provided him with a perspective that differed from conventional financial thinking.

At that time, mutual funds, as the main tool for gaining broad market exposure, offered opportunities for diversified investment but had obvious limitations. Investors could not buy and sell in real-time during trading days and had to wait until the market closed to determine the transaction price. This lag was particularly inconvenient for investors accustomed to real-time trading of stocks.

In the face of this challenge, Nathan proposed a revolutionary idea: to create a product that could track the S&P 500 index while being traded like a single stock. This proposal faced numerous doubts initially, including the lack of a legal framework and the uncertainty of market demand. However, Nathan insisted on his idea and continued to advance this innovative concept.

In 1993, his efforts finally bore fruit. The Standard & Poor's Depositary Receipts (SPDR) debuted with the trading code SPY, which was essentially the first exchange-traded fund (ETF). This tool can represent hundreds of stocks, providing investors with unprecedented convenience.

Although ETFs were initially seen as niche products, they have gradually evolved into one of the most traded securities globally. On many trading days, the trading volume of SPY even exceeds the total volume of all the stocks it tracks. The success of this synthetic instrument has not only changed the way investors trade but has also brought new vitality and efficiency to the financial markets.

The birth and development of ETFs demonstrate how cross-disciplinary thinking can drive financial innovation. The story of Nathan Most reminds us that sometimes the greatest innovations can come from unexpected places, and persistence and vision are often key factors in turning revolutionary ideas into reality.