Exploring Exchange-Traded Funds (ETFs): How They Work and Their Advantages



Exchange-Traded Funds (ETFs) are investment vehicles that combine the features of stocks and bonds, allowing investors to diversify their portfolio while enjoying the benefits of both asset classes.​ In this article, we will explore the concept of ETFs, how they work, and the advantages they offer to investors.​

What are ETFs?​

ETFs are investment funds that trade on stock exchanges, similar to individual stocks.​ They are designed to track the performance of a particular index, sector, or asset class.​ These funds can hold a variety of underlying assets, including stocks, bonds, commodities, or a combination of these.​

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