Common Questions about ETFs
Q: Can ETFs be guaranteed or insured?
The Depository Clearing Corporation, a government agency, which ensure sock certificates purchased are delivered to the purchaser and assigned to the same. Anytime a new ETF is created, the SEC is sure to review and examine every application. Chances of abuse have been very low.
Q: Are ETFs only good for stocks?
No, they are very innovative and versatile. In fact, any liquid asset with a published index can be an ETF. There are ETFs for Bonds, Commodities, Emerging Market, Japanese Futures, Latin Top 50, Precious Metals, Basic Materials, Real Estate and a long list of others.
Q: Are there international ETFs?
Of course there are. Countries in Europe and across the Pacific Rim have funds including most developed countries. As other countries gain political and economic stability they will surely adopt ETFs.
Q: Do any ETFs actually beat the market?
A fund that currently beat the market by 2 or 3xs is an actively managed fund. These funds operationally are much more difficult to manage. However it is much simpler when all players in building an ETF know the details of stock investments. Actively managed funds are traditionally more secretive, mainly to shield themselves from eager parasitical resellers.
Q: Are there ETFs for the Dow Jones Industrials or S&P 500?
Besides the S&P 500 and Dow Jones there are several funds that track those indexes. One thing people have a hard time understanding is that when trading though an ETF index the Dow Jones and S&P 500 remain in tact as their own indexes, and using a certain group license more than one fund can track an index. Start trading by opening up an account with a broker and beginning today.
Q: Could ETFs possibly be a fly-by-the-night trend or fad?
It's very unlikely it's just a fad. By the end of 2009 assets of exchange traded funds totaled and astounding $656.91 billion. Year over year the steady growth of ETFs has been stronger and more consistent than other financial products. Mutual funds haven't even seem the same growth ETFs have experienced. - 23310
The Depository Clearing Corporation, a government agency, which ensure sock certificates purchased are delivered to the purchaser and assigned to the same. Anytime a new ETF is created, the SEC is sure to review and examine every application. Chances of abuse have been very low.
Q: Are ETFs only good for stocks?
No, they are very innovative and versatile. In fact, any liquid asset with a published index can be an ETF. There are ETFs for Bonds, Commodities, Emerging Market, Japanese Futures, Latin Top 50, Precious Metals, Basic Materials, Real Estate and a long list of others.
Q: Are there international ETFs?
Of course there are. Countries in Europe and across the Pacific Rim have funds including most developed countries. As other countries gain political and economic stability they will surely adopt ETFs.
Q: Do any ETFs actually beat the market?
A fund that currently beat the market by 2 or 3xs is an actively managed fund. These funds operationally are much more difficult to manage. However it is much simpler when all players in building an ETF know the details of stock investments. Actively managed funds are traditionally more secretive, mainly to shield themselves from eager parasitical resellers.
Q: Are there ETFs for the Dow Jones Industrials or S&P 500?
Besides the S&P 500 and Dow Jones there are several funds that track those indexes. One thing people have a hard time understanding is that when trading though an ETF index the Dow Jones and S&P 500 remain in tact as their own indexes, and using a certain group license more than one fund can track an index. Start trading by opening up an account with a broker and beginning today.
Q: Could ETFs possibly be a fly-by-the-night trend or fad?
It's very unlikely it's just a fad. By the end of 2009 assets of exchange traded funds totaled and astounding $656.91 billion. Year over year the steady growth of ETFs has been stronger and more consistent than other financial products. Mutual funds haven't even seem the same growth ETFs have experienced. - 23310
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Black Sand trading is an online stock trading tool that indicates to online traders where and how to invest their money. Black Sand's clients have consistently achieved a 53% or greater ROI over the past seven years following Black Sand's signal. For more information about trading and using Black Sand Trading visit our website.
posted by Mr. Forex at
5:42 AM
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