Posts filed under “Investing”

ETFs vs. Funds

I use ETFs alot, and find they can be vastly superior to Mutual Funds in many ways. The WSJ did a nice  comparo between ETFs and Index Funds last month:

"According to Boston-based Financial Research Corp., ETFs now account for nearly one-third of all assets devoted to so-called passive investing (a term for investments like index funds), up from 9% in 2000. In less than three years, the total number of ETFs has jumped nearly 70%, to 185, while the number of index funds has remained relatively flat. ETFs have even started popping up in 401(k) plans.

A key driver in the popularity of ETFs is the failure by many mutual-fund managers to beat the market for extended periods of time, even as they collect big management fees. Instead, many advisers have turned to a strategy of lower-cost index funds, and increasingly, ETFs."

Also of interest: ETFs trade intraday, as opposed to merely being a "price on close" vehicle.  And, you can short an ETF without an uptick.


click for larger table


The Great Race: ETFs vs. Funds
New Opportunities for Indexing Complicate Investors’ Choices; Picking the Right Market ‘Slice’
THE WALL STREET JOURNAL, November 5, 2005; Page B1

Category: Investing

That Cheery Notion of Upbeat Economic News

Category: Commodities, Economy, Investing, Markets, Real Estate

Apprenticed Investor: Reading Is Fundamental

Category: Apprenticed Investor, Books, Investing

Vanguard: Nest Eggs Lack Attention and Diversity

Category: Investing, Psychology

Absolute Price is Unimportant

Category: Investing

Gold versus Stocks

Category: Commodities, Inflation, Investing

Sell some winners and most of your losers

Category: Investing, Trading

Impossible Returns? Hardly . . .

Category: Hedge Funds, Investing, Technical Analysis

Apprenticed Investor: There Are No Shortcuts

Category: Apprenticed Investor, Investing, Psychology

The Myth of the Hedge Fund

Category: Investing