What You Should Know About ETF Bid/Ask Spreads | Page 2 of 2 | ETF Trends

Potential ETF investors should keep an eye on the spread as wider bid/ask spreads may eat away at potential returns on an investment. Spreads are more an issue for traders than for buy-and-hold investors. [How to Use ETFs in a Trend-Following Strategy]

While there are many different types of trading options, we suggest sticking to limit orders. Limit orders help ensure optimal executions on trade orders and help individuals take more control when trading. [What Investors Should Know About ETFs and Stop-Loss Orders]

For more information on ETFs, visit our ETF 101 category.

Max Chen contributed to this article.