Getting Started with ETFs
By Mark Kennedy, About.com Guide to Exchange Traded Funds
Have you heard about ETFs, but aren’t really sure what they are? Then you’ve come to the right place. This is where you learn the basics about ETFs and how they can benefit your portfolio. Exchange Traded Funds are an up-and-coming investment vehicle because of their advantages of other investments such as mutual funds. They have lower cost structures, are easy to trade, and have a lesser impact on your tax bill. So if you’re ready intrigued, here’s the information you need to include ETFs in your investment strategy.
What Are ETFs?
Exchange Traded Funds, also known as ETFs, are mini-portfolios of securities and derivatives that track an asset like an index or commodity. Unlike mutual funds or index baskets, you don't have to make multiple transactions in order to achieve a market price. With ETFs it's one trade, one price.
- What is an ETF?
- 11 Types of ETFs (And More)
- What is a SPDR?
- What is the difference between an ETN and an ETF?
- The History of ETFs
Advantages & Disadvantages of ETFs
While it's important to understand how ETFs work, it is equally important to understand the risks and benefits. Only then can you decide if they are a fit for your portfolio.
- 9 Reasons ETFs Can Benefit Your Portfolio
- ETF Tax Advantages over Mutual Funds
- 5 Reasons an ETF May Not Be Right for You
- 6 Disadvantages of Mutual Funds
- 5 Reasons to Consider ETFs instead of Mutual Funds
How to Get Started with ETFs
Once you have a good feel for ETFs and understand the risks and rewards, it's time to include them in your investing strategy. These articles well help you learn how to buy, sell, and trade ETFs. Everything you need to know to get started with exchange traded funds.
