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An ETF is an investment fund traded on stock exchanges, much like stocks. ETFs hold assets like stocks, bonds, or commodities.
ETFs offer instant diversification, low fees, and trading flexibility. They're popular for index investing.
Unlike mutual funds, ETFs trade throughout the day at market prices rather than once daily at NAV.
Understanding exchange-traded fund (etf) helps you make better investment decisions and plan for taxes. Explore related concepts below to deepen your knowledge.