BeginnerBasics
What is an ETF?
An ETF (Exchange-Traded Fund) trades on exchanges like a stock but holds a basket of assets. It's one of the best tools for diversified, low-cost market exposure.
TL;DR
An ETF (Exchange-Traded Fund) trades on exchanges like a stock but holds a basket of assets. It's one of the best tools for diversified, low-cost market exposure.
How ETFs Work
An ETF is an investment fund listed on an exchange, tradeable like a stock during market hours. Unlike mutual funds that price once daily at NAV, ETFs have real-time prices. Most ETFs track an index (e.g., S&P 500, Hang Seng Index) by holding the same securities.
Key Terms:
ETFNAVindex