The Business
Exchange Traded Funds
Exchange traded funds (ETFs) are securities that tracks a specific asset class, industry, investment style or market index and trades exactly like a stock on an exchange. The world of ETFs, similar to Mutual Funds, encompasses a broad spectrum of investment solutions that include:
  • Access to almost every asset class such as stocks and bonds
  • Access to almost every industry such as financials, technology, health care, commodities and precious metals.
  • Access to almost every investment style such as value investing, growth investing, large capital, medium capital and small capital.
  • Access to almost every market index such as the Dow Jones, NASDAQ and S&P 500.
  • Fund price changes continuously throughout the regular market session, pre hours and after hours.
Exchange Traded Funds are powerful investment tools for they can become an essential component to asset allocation, diversification and risk tolerance. ETFs tend to be more aggressive than Mutual Funds as they incur more risk.