CAN I USE EXCHANGE TRADED FUNDS (ETFS) RATHER THAN INDEX MUTUAL FUNDS?
Sure, but they may not give you as much of an advantage as you think. For one thing, any difference in expenses is likely to be miniscule, and only affect those with very large account balances. The ability to trade ETF’s more easily is likely a non-factor, as JtB holds the index funds for the long term with hardly any trading. That basically leaves the negative of having to pay a trading commission to buy and sell the ETF, which would make them a net money loser for most JtB investors. However, since every investor’s situation is different, if there’s an advantage to using ETFs in your situation, feel free.
Sure, but they may not give you as much of an advantage as you think. For one thing, any difference in expenses is likely to be miniscule and affect only those with very large account balances. The ability to trade ETFs more easily is likely a non-factor, since JtB holds funds for the long term with hardly any trading. However, since every investor’s situation is different, if there’s an advantage to using ETFs in your situation, feel free.
