Are mutual funds less risky to own than exchange traded funds?
Not necessarily. ETFs, like mutual funds, come in a variety of shapes and sizes. The level of risk in an ETF or mutual fund is often determined by the portfolio holdings within the fund. Both mutual funds and ETFs can track a variety of indexes and sectors. Some indexes or sectors will be more risky and volatile than others. However, there’s no substantiated research to prove that ETFs are any more or less risky compared to mutual funds.
