An ETF is a type of what?

Trivia: An ETF is a type of what?

Savings account
Government subsidy
Investment fund
Import tax

The correct answer is Investment fund

So why is this answer correct? : An ETF, or exchange-traded fund, is a pool investment security that operates much like a mutual fund but can be traded on the market like a regular stock. The first ETF, SPDR S&P 500 ETF (SPY), was created in 1993 and tracks the S&P 500 index (Standard & Poor’s 500 Index) — a market-capitalization-weighted index. The concept has become a popular investment strategy for millions of investors in the decades since.

Leave a Reply

Your email address will not be published. Required fields are marked *