Exchange-Traded Funds (ETFs) may provide an efficient and simple way to invest in different segments of our economy. For example, ARK’s ETFs are designed to give investors access to areas of disruptive innovation and aim to provide long-term growth of capital.
Exchange
ETFs are listed on various exchanges like the NASDAQ, NYSE, or Cboe.
Traded
ETFs act similar to stocks when traded. An investor can trade an ETF during market hours like trading shares of an equity stock. For instance, investors can call up a broker or log onto an online brokerage account and put in an order.
Fund
An ETF is a portfolio of securities, much like a mutual fund. ETFs can be based off an existing index, or a unique mixture determined by the fund manager.