There has been a wave of selling lately; stocks, mutual funds and ETFs have all been affected. Chances are, many who have sold mutual funds they bought earlier this year may also have been hit with redemption fees amounting to much more than the transaction fee charged to sell an ETF.
The Chicago Tribune recently ran a story about the ongoing advantages of ETFs.
In the past five years, the market has grown to $313 billion, from $70
billion, and to 200 different ETFs. The market remains small compared
with the $8.8 trillion mutual-fund business, but the annual growth of
29 percent is almost three times faster than that of mutual funds, even
zippier than hedge funds, according to the Financial Research Corp.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.