#NasdaqETFUpdate
💥💥ETF (Exchange Traded Fund) – is an investment fund that is traded on the stock exchange like ordinary shares. The main principles of ETF operation:
✅Diversification:
ETFs allow investors to quickly and effectively diversify their portfolio by investing in a basket of assets (stocks, bonds, commodities, etc.).
✅Transparency:
The composition of the ETF is known to investors, allowing them to assess risks and prospects.
✅Accessibility:
Buying and selling ETFs is done on the stock exchange like ordinary shares, making them accessible to a wide range of investors.
✅Liquidity:
ETFs usually have high liquidity, meaning they can be easily bought and sold at any time during the day.
✅Low Cost:
ETFs typically have low management fees compared to ordinary investment funds.
✅Efficiency:
ETFs allow investors to replicate the investment strategies of well-known indices such as the S&P 500.
✅Trading:
ETFs are traded on stock exchanges, and their price is determined by supply and demand.
