Shares of ETF Funds: Why is this a good asset?
ETF Foundation is a set of different shares. The fund, in essence, unites the shares of different companies. If you buy stock shares, automatically put in all companies that are included in the “set”. Many funds are formed on popular indexes – for example, there is an S & P 500 Index Foundation, funds investing in a certain industry or in a particular country. If the Foundation is an index, then the prices of its shares are growing and falling proportionally to the index.
Some funds are invested in other assets – not shares, but, for example, precious Metals, currency, something else. But capital is still compiled equally: the management company of the Foundation buys assets, and traders and investors buy stock shares.
gives an investor additional features
to invest in large companies without having a large capital. For example: one share of the FXIT Fund, which is formed by the list of American IT companies, is estimated at 11,358.5 rubles. And the promotion of the company Google is 204,725.5 rubles. You can invest in Google – and at the same time in the other companies Foundation – without having such a sum on hand. Get the result from price fluctuations on assets from the international market. For trade on international exchanges, the status of a qualified investor is often needed. This means that even through broker to buy shares of foreign companies may not be every trader. But it is possible to obtain the result through stock shares – the same as if you bought shares directly. Invest in the company of different countries. It helps to reduce risks, but usually conjugate with great work. And stock stock track It is easier – while all the difficulties take on the fund.
ETF Foundation is much more transparent and more convenient to PIFA
Female Investment Fund – also form collective investments. Investing in the FIF, you get a part of the property of the Fund – a fraction proportional to your contribution. All invested money is acquired by a single portfolio of securities. It seems that this is the same as ETF, but there are differences.