An increasing number of investors are becoming acquainted with the benefits of the low-cost, easy-to-use ETF investment vehicle, especially with more becoming disillusioned with long underperformance and high costs of traditional open-end mutual funds.
“These are really great. These are very cost efficient, stable, transparent building blocks that I can use to deliver great outcomes for my clients,” Johnson said. “The conversations shifted more from sort of structure and training to theory and portfolio construction.”
In the early stages of growth, the ETF industry has been heavily invested in educating investors and financial advisors on the benefits of the ETF structure. While education still continues to this day, more have grown acquainted with the nifty fund structure. Consequently, investors are now using their know-how of ETFs and crafting tailored investment portfolios that incorporate the various ETF strategies.
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