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What are Exchange Traded Funds or ETFs?

April 26, 2017ETFs exchange funds Traded

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What are Exchange Traded Funds or ETFs?

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Exchange traded funds are a basket of securities, that are very similar to mutual funds except they trade like a stock on the major stock exchanges. There are no minimum holding periods or early redemption fees. ETFs are priced throughout the day as opposed to only daily like mutual funds. ETFs incur no year end phantom capital gains or dividend distributions. Since ETFs trade just like a stock, they can be sold short. Exchange Traded Funds are one of the fastest growing segments of the financial markets today. To learn more go to TRADING SYSTEMS and then go to Rebound ETF. Also, there are a couple of good articles under TRADING NEWS that explain the pros and cons of ETFs.