What is ETF?
ETF is a type of investment funds and exchange traded product which are traded in stock exchange they are similar to mutual funds but differs slightly in the fact that they are bought and sold from other owners throughout the day on stock exchange.
ETF is one of the most important and valueble products for investors recently expecially among investors that are willing to broaden their portfolio without increasing time and effort to manage and allocate their investments.
Advantages of ETF
Taxation: ETF is attractive tax wise than mutual funds because of it's low taxation.
Trading: it can be bought and sold at current market price at anytime of the day. In ETF investors can access the same type of trade that they can with stock, such as limit orders(which allow investors to specify the price in which they are willing to start), stop-loss orders, margin buying, hedging strategy.
No minimum investment: in ETF you can start with any amount you want so it’s flexible and easily to buy and hold.
Transparency: it is very transparent so its a very good investment
Market exposure and diversity: it's provide some level of diversity.
TYPES OF ETF
*MARKET ETF
*COMMODITY ETF
*STYLE ETF
*SECTOR ETF
*BONDS ETF
