In a recent study, Vanguard also discovered that 62% of the firm’s deals in ETFs were categorized as strategic-allocation trades.
“Our evidence suggests that we’re not seeing ETFs cause people to trade more frequently. Rather, what we’re finding is that people who trade more are choosing ETFs more frequently these days,” Joel Dickson, Vanguard’s senior ETF investment strategist said. [Are ETFs Turning Investors Into Day Traders?]
For more information on ETFs, visit our ETF 101 category.
Max Chen contributed to this article.