{"id":18046,"date":"2024-06-04T01:51:07","date_gmt":"2024-06-03T20:21:07","guid":{"rendered":"https:\/\/vajiramandravi.com\/current-affairs\/?p=18046"},"modified":"2025-10-11T16:50:08","modified_gmt":"2025-10-11T11:20:08","slug":"etf","status":"publish","type":"post","link":"https:\/\/vajiramandravi.com\/current-affairs\/etf\/","title":{"rendered":"Exchange Traded Funds (ETFs)"},"content":{"rendered":"<h2>About ETFs:\u00a0<\/h2>\n<p>An exchange-traded fund (ETF) is a collection of marketable securities that track an underlying index. ETFs combine features of mutual funds and stocks, allowing investors to gain exposure to a basket of assets while providing the flexibility to be traded on stock exchanges like individual stocks.<\/p>\n<ul>\n<li><strong>Diversification<\/strong>: ETFs provide diversification by allowing investors to gain exposure to a basket of assets with a single investment.<\/li>\n<li>ETFs can be bought and sold<strong> throughout the trading day <\/strong>on stock exchanges at market prices, unlike mutual funds which are priced only at the end of the trading day.<\/li>\n<li><strong>Affordable: <\/strong>ETFs typically have lower fees and expenses compared to actively managed mutual funds, as they are passively managed to track an index.<\/li>\n<li>The largest ETFs track major stock market indexes like the S&amp;P 500, providing investors with broad exposure to the overall stock market.<\/li>\n<\/ul>\n<p><strong>Types of ETFs:<\/strong><\/p>\n<ul>\n<li><strong>Equity <\/strong>ETFs that track equity indices.<\/li>\n<li><strong>Debt<\/strong> ETFs that invest in government and corporate bonds.<\/li>\n<li><strong>Commodity<\/strong> ETFs that invest in commodities like gold and silver.<\/li>\n<li><strong>Sectoral\/thematic<\/strong> ETFs that focus on specific industries or themes.<\/li>\n<\/ul>\n<p><strong>International<\/strong> ETFs that track foreign indices.<\/p>\n<hr \/>\n<h3>Q1: What are mutual funds and stocks?<\/h3>\n<p>Mutual funds are investments in a portfolio of securities, managed by professionals, offering diversification and reduced risk. Stocks are direct investments in individual companies, requiring expertise and risk tolerance.<\/p>\n<p><strong>Source: <\/strong><a href=\"https:\/\/economictimes.indiatimes.com\/markets\/stocks\/news\/investors-pour-into-india-etfs-ahead-of-election-result\/articleshow\/110684067.cms\" target=\"_blank\" rel=\"nofollow noopener\">Investors pour into India ETFs ahead of election result<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>An exchange-traded fund (ETF) is a collection of marketable securities that track an underlying index. <\/p>\n","protected":false},"author":5,"featured_media":18047,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-18046","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-upsc-prelims-current-affairs","8":"no-featured-image-padding"},"acf":[],"_links":{"self":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/18046","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/comments?post=18046"}],"version-history":[{"count":0,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/posts\/18046\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media\/18047"}],"wp:attachment":[{"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/media?parent=18046"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/categories?post=18046"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/vajiramandravi.com\/current-affairs\/wp-json\/wp\/v2\/tags?post=18046"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}