Making tracks to ETFs

Exchange traded funds (ETFs) are a less expensive way to gain exposure to a variety of asset classes compared with actively managed funds. But with a myriad of ETFs in the market today, advisers and investors will need to research these index-tracking funds carefully to appreciate the risk and reward trade off. An ETF holds a variety of assets to mimic the risk and return of a specified stock index. It is typically structured as an investment-trust company and trades on a stock exchange. An investor in an ETF owns a slice of this portfolio, with the opportunity to trade the entire specifie...