Exchange Traded Funds

ETFs are designed to track the performance of a specific index, such as the S&P 500, or a particular industry or sector. They are a popular investment vehicle for both retail and institutional investors due to their low costs and diversification benefits.

• ETFs can be bought and sold throughout the trading day on an exchange, and their prices fluctuate based on supply and demand.

• One of the main advantages of ETFs is their low expense ratios compared to actively managed mutual funds. Since ETFs simply track an index, they do not require the same level of active management, and as a result, they have lower management fees.

• Additionally, ETFs provide investors with diversification benefits by providing exposure to a broad range of securities within a particular market or sector.

ETFs are also a popular way for investors to gain exposure to specific sectors or industries, as they provide a cost-effective way to invest in a diversified portfolio of stocks within a particular market segment.