Saturday 22nd October 2016                 Change text size:

Investment term of the day: Exchange-traded fund

dictionary By doctor-a via stock.xchng

Exchange-traded funds (ETFs) are investment vehicles that track any one of a wide range of sectors or indices and are traded much like stocks, with prices changing throughout the day as they are bought and sold.

EFTs can be an attractive investment opportunity as they are low cost and tax efficient, they can also add diversity to a portfolio and give investors more flexibility.

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