An exchange-traded fund (ETF) is a bundle of securities that you can buy or sell on a stock exchange through a brokerage firm. ETF is in almost all asset classes, from traditional investments like gold to new assets like equity, commodities or currencies. Such is the fluidity of ETFs that these days there is a buzz about an ETF on bitcoin. An ETF is a marketable security which is traded on an index like a stock a commodity, bonds, or a basket of assets like an index fund. One quality sets it apart from mutual funds is that an ETF trades just like a company stock on stock exchanges. The experience price ETFs keeps changes all through the day as per the shares (in equity ETF) are bought and sold. The biggest advantage of ETFs is that it has much higher daily liquidity and considerably lower fees than mutual funds which makes it an attractive alternative for retail investors.

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