ETFs vs. mutual funds – Both have merit, depending on your goals

Description

Abstract: Exchange-traded funds (ETFs) have exploded in popularity since their introduction in the early 1990s. Both ETFs and mutual funds allow investors to invest in a variety of securities, providing the potential for instant diversification. However, in many ways, ETFs are a more flexible and easily traded product. As this article explains, that flexibility can be both an advantage and a disadvantage. It discusses the differences between the two kinds of products, including fees and expenses, and looks at the ever-more-exotic strategies that some ETFs and mutual funds offer.