“I wouldn’t shy away from ETFs that have low volume or low assets. You just have to be smart about how you trade it,” Eric Lichtenstein, managing director of Knight’s ETF trading desk, said in the article.
ETF investors should always use limit orders to better control trade executions at certain prices. Vanguard ETF strategist Joel Dickson advises “pegging” an ETF order at a certain point away from the bid/ask price.
“It protects you from the ‘flash-crash’ scenario,” Dickson said in the article.
For more information on small-cap funds, visit our small-caps category.
Max Chen contributed to this article.