SmartFinanceTips.com
Description
ETF's (exchange traded funds) are very similar to mutual funds except that they are traded during the day on an exchange and you can buy them through your broker. The most popular ETF's are the QQQ (Nasdaq 100) and SPIDR(S&P500). Both of these "stocks" attempts to closely follow the underlying securities they represent. The advantages of ETF's are:
They are not "managed" by anyone, thus cutting way down on expenses. They can represent anywhere from 30 - 3000 stocks in one security basket you can buy.
ETF's are the ideal way to invest in the stock market. You have all the benefits of owning one stock, while also getting the low risk profile and low fees that you would get from mutual fund. If you are an average consumer with little time to figure out you investment strategy, the easiest answer we give to anyone asking where to invest their money is to buy the S&P 500 (SPIDR) ETF from your broker. You will automatically be buying the 500 of largest companies in the US in one transaction.
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Contact
- Eugene Smelyansky (
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- New York NY
- US 10016
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- +1.2126831889
