ETFs – the benefits

ETFs – the benefits 2018-03-05T12:13:06+00:00

Exchange Traded Funds (ETFs) are one of the fastest growing investments available on the Australian Share Market.

ETFs are a basket of shares rolled into one share – that many Fund Managers would prefer you did not know about.

ETFs are listed investments and can be easily traded on the stock exchange.

They offer all of the benefits associated with index funds — such as low turnover and broad diversification — plus ETFs cost less.

ETFs suit investors who want to create a diversified portfolio. There are hundreds of ETFs available, and they cover every major index
as well as specific sectors of the equity market and specialised industries.

ETFs are revolutionising investment strategy and performance in both the world and Australian markets for the savvy investor.

ETFs on the U.S markets currently comprise approximately 50% of all daily trades.

At Asset Builder we believe that ETFs offer a strong alternative to a direct share portfolio or actively Managed Funds
due to the ability of investors to create diversified portfolios at minimal trading and management costs.

ETFs are extremely functional in Self Managed Super Funds as they do away with the need to constantly trade.

Essentially, ETFs represent a massive saving to the investor.