What's an ETF?

etf_info

An exchange traded fund (ETF) is a basket of securities that trade on an exchange, just like a stock. ETF share prices fluctuate all day as the ETF is bought and sold. ETFs can contain all types of investments including stocks, commodities, or bonds; some offer U.S. only holdings, while others are international. In this place we talk about REITs ETF only.

Imagine half a dozen investors, sitting at home, each trying to figure out the best way to invest in the stock market. They could each go out and buy a few stocks on their own, but who has the time or resources to manage a portfolio of 50 or 100 stocks? Instead, they decide to band together. They pool all of their money and hire a professional investment manager to invest it for them. To keep track of who invested what, each investor receives "shares," representing their stake in the total investment. We call it ETF

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