These are the most exciting new investment vehicle since the variable annuities. I m confident these funds will give traditional mutual funds a run for their money as well as enrich thousands of investors without unduly enriching the U.S. Treasury. There are more than 100 exchange-traded funds available today. Exchange-traded funds generally trade on the American Stock Exchange, and can account for more than half of the AMEX s daily trading volume. The trusts are as good as permanent for today s investors they re generally not scheduled to terminate until sometime in the 22 nd century.
Annual expenses are generally lower than similar open-end index funds.
You probably can t buy a decent pair of shoes for that much let alone world-class investment management. You can sell short to profits from falling markets. ETFs are particularly good for investing in smaller foreign markets such as Austria and Spain. Previously, your choices were limited to closed-end country funds with higher expenses. You can t automatically reinvest ETF dividends as you can with traditional open-end funds.