Exchange Traded Funds

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Exchange Traded Funds (ETF)

Also known as ETF. A basket of stocks similar to an index mutual fund. However, there are a number of important differences between ETFs and mutual funds. The ETF can be traded within the day, they can be shorted, purchased on margin and there even exists options on some ETFs.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.

Exchange-Traded Fund

A security that represents all the stocks on a given exchange. For example, an exchange-traded fund may track the Standard and Poor's 500. The organization issuing the exchange-trade fund owns each of the stocks traded on the S&P 500 in approximate ratio to their market capitalization. ETF shares can be bought, sold, short-sold, traded on margin, and generally function as if they were stocks. Investors use exchange-traded funds as a way to easily diversify their portfolios at relatively low cost. See also: SPDR.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
References in periodicals archive ?
Exchange Traded Funds have advantages and characteristics that make them a very useful tool for an investor.
Sami added that, "Exchange traded funds will help inject high rates of liquidity into the market and attract new investors".
* The number of exchange traded funds will more than double to 2,500 by 2017.
Credit Suisse AG operates as a unit of Credit Suisse Group AG (VTX:CSGN).Country: SwitzerlandSector: Banking/Financial ServicesTarget: Credit Suisse AG's exchange traded funds (ETF) businessBuyer: BlackRock IncVendor: Credit Suisse AGType: LBOStatus: Closed
Previously foreign investors could only invest in Saudi Arabia through swaps or exchange traded funds.
Exchange Traded Concepts LLC and and Master Income ETF serves as the investment advisor of the exchange traded funds, distributed by Quasar Distributors LLC, which is not affiliated with Exchange Traded Concepts LLC or any of its affiliates.
According to strategic plans made by Deutsche Bank, commissions on four leading European exchange traded funds will be slashed in an attempt to recapture market share from its rivals.
M2 EQUITYBITES-January 16, 2014--RBC Global Asset Management launches 4 exchange traded funds
In her new role, Dzanis will lead the sales and servicing team for Northern Trust's FlexShares exchange traded funds. She will be based at Northern Trust's Chicago headquarters and report to Shundrawn A.
Bank of Montreal (NYSE: BMO) has stated that only a few Canadians know of the benefits of exchange traded funds (ETFs).
Longley is to head the national accounts for the US iShares exchange traded funds for Barclays Global Investors.
Investment bank, Deutsche Bank AG's db-X groups' five exchange traded funds declared distributions, it revealed on Wednesday.