Exchange Traded Fund Investment Strategies Etfs

ETFs or Exchange Traded Funds are similar to mutual funds in many ways. A ETF, like a mutual funds, will hold a basket of stocks owning many stocks, sometimes owning even a hundred or more. This diversification allows lower risk and safety. If a few or even a handful of stocks go down it will not have much of an impact on the value of your ETF. Moreover, ETFs are inexpensive to buy, maintain and sell. These lower fees will increase your bottom line. Generally, the cost associated with an ETF is a small trading fee, similar as to a stock trading fee that an online brokerage may charge. Exchange Traded Funds are generally more tax efficient than most mutual funds. Almost all mutual funds must sell some of their holdings to meet redemptions, which will trigger a capital gains distribution to all the mutual fund shareholders. Anyone that has bought mutual fund shares in the month of December and paid taxes on other peoples gains knows what I am talking about. Instead of paying commissions, loads, management fees, redemption fees and penalties and paying the salaries of all those infamous professional money managers who, like you, are doing whatever they need to do to make the most money for themselves why not let all of your money work for you.

Unlike mutual funds Exchange Traded Funds trade just like stocks. You dont have to pay loads, a fee mutual funds sometimes charge to buy or sell your mutual funds. With ETFs, you dont have to worry about paying early redemption fees or penalties like you do many times when you sell your mutual funds. These redemption fees are charged generally within one to three months of the sale. With ETFs there is no need to worry about when your mutual fund trade will be executed. With most mutual funds buys your order will not be executed necessarily when you want it to be executed, your order is executed when the mutual fund company wants to execute it, usually, after the close of the market. However, many times the mutual fund company doesnt execute your order until the next trading day or even after the close of the market the following day. You could literally put your buy or sell order in to the mutual fund company in the morning and your order may not get actually executed until possibly after the next trading day! There is no manipulation of the mutual fund pricing or the pricing of the underlying stock prices going on. Really? The professional money manager and mutual fund company will execute the order when it is most beneficial to them, not you!

ETFs put all of the control back in your hands. You just execute your order the same way you would as with a single stock. You never executed a stock order on your own before, what? You dont know how to find the ETF that meets your investment objectives? Not a problem, its both easy and inexpensive. Learn how to stay fully invested in the marke, on the right side of the market, with the Zonker ETF Strategy. You will be on the long side of the market when the market is trending higher and on the short side of the market when the market is trending lower. You will win on both sides! You will soon find that you enjoy working your new Zonker ETF Strategy and taking control of your investments, especially when you see the value of your ETF accounts grow. Your Only Financial Security is the Security You Create