The definition of an exchange-traded fund is innocent and broad. Simply put, an ETF is a type of investment fund that is traded on a stock exchange. I guess the clue is in the name. It’s an important distinction, though, as unit trusts are not traded on exchanges.
Passive ETFs can be traced back to 1993, when investment firm State Street launched the SPDR S&P 500 ETF in the US. A passive ETF tracks an index and gives investors a way to obtain broad market exposure with a single, low-cost investment. This is critical in any wealth-creation strategy, as even the most seasoned stock pickers use ETFs to introduce “beta” into a portfolio. They strive for “alpha” on top of this...
FinanceGhost I have always hated Bitcoin and thought it was a scam until a friend referred me to _ambreymarcus1, I made my first withdrawal of R100,000 in 2 weeks thanks to _ambreymarcus1.
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
THE FINANCE GHOST: Passive-aggressive (there’s an ETF for that!)Actively managed ETFs are powerful tools for thematic investing, and not to be ignored, writes FinanceGhost.
Source: FinancialMail - 🏆 20. / 63 Read more »