ETFs Vs Mutual Funds
𝗬𝗼𝘂 𝗺𝗮𝘆 𝗵𝗮𝘃𝗲 𝗵𝗲𝗮𝗿𝗱 𝗮 𝗹𝗼𝘁 𝗮𝗯𝗼𝘂𝘁 𝗺𝘂𝘁𝘂𝗮𝗹 𝗳𝘂𝗻𝗱𝘀 𝗮𝗻𝗱 𝗵𝗼𝘄 𝘁𝗵𝗲𝘆’𝗿𝗲 𝘀𝗼 ‘𝘀𝗮𝗵𝗶.’ 𝗕𝘂𝘁 𝘄𝗵𝗮𝘁 𝗮𝗯𝗼𝘂𝘁 𝗘𝗧𝗙𝘀? ETFs aren’t half as talked about. In fact, if you compare the search trends of mutual funds with ETFs, you would notice that ETFs are nowhere near mutual funds in terms of public interest. While both investment avenues are widely used for building wealth, understanding the key difference between the two is crucial to knowing which one suits you better. 𝗠𝘂𝘁𝘂𝗮𝗹 𝗙𝘂𝗻𝗱𝘀: 𝗧𝗵𝗲 𝗢𝗚 𝗔𝘀𝘀𝗲𝘁 𝗕𝗮𝘀𝗸𝗲𝘁 Management Style: Mutual Funds are actively managed by professional fund managers seeking to outperform the market benchmark. Trading: Orders are placed after market hours at the Net Asset Value (NAV), which is the ‘per share’ value of a mutual fund unit. Investment Choice: From broad market funds to sector-specific or even debt-based options, mutual funds have a huge variety, which allows for targeted divers...