To be used for any questions relating to Exchange Traded Funds.
13
votes
3answers
615 views
Regular contribution threshold for ETF vs Index Mutual Fund?
I've seen enough info out there comparing lump-sum investments into ETFs vs mutual funds with respect to broker commissions in the case of ETFs, and the discrepancy between MERs between the two. In ...
13
votes
3answers
403 views
What differentiates index funds and ETFs?
Many companies offer index funds and ETFs. If two funds or ETFs track the same fund, what differentiates the two? Is it common for one index fund to outperform another? How can this happen if the ...
13
votes
1answer
314 views
What are the important differences between mutual funds and Exchange Traded Funds (ETFs)?
I've been considering, but haven't committed myself yet to investing in Exchange Traded Funds (ETFs), but have to admit that I don't yet fully understand the use-case for them.
What factors are ...
11
votes
3answers
676 views
No transaction fee ETF trades - what's the catch?
I just noticed TD Ameritrade has program where you can trade from a list of ETFs with zero fees.
Sounds like it could save me a bit of money, but my cynical side wonders how they make money off such ...
11
votes
1answer
504 views
How does a synthetic ETF work?
A comment on my recent ETF-related question mentioned swap/synthetic ETFs.
Most of what I can find on the web glosses over the mechanics. Can someone walk through what is happening behind the scenes?
...
10
votes
5answers
348 views
Why is the dominant investing advice for individuals to use MFs, ETFs, etc?
The dominant advice on this site (including that which I give to novices) regarding investing is to only invest in fund vehicles (mutual funds, ETFs, etc), rather than in individual stocks.
Why is ...
10
votes
2answers
265 views
What's an Exchange-Traded Fund (ETF)?
I've been hearing a lot about exchange-traded funds, or ETFs. What exactly are they, and how would I use them?
10
votes
1answer
106 views
For higher returns, put money in fewer or more ETFs? w/rebalancing in the equation
I'm evaluating my long-term investing strategy. I am somewhat aggressive and want to stick with ETFs.
Scenario A
60% Vanguard S&P 500 Index ETF (VOO)
40% Vanguard FTSE All-World Ex-U.S. ETF ...
9
votes
2answers
204 views
Investing in a leveraged index ETF for retirement. Risky?
I'm 23, and in addition to my 401k at work, I have a few thousand saved in an IRA. Right now I have it sitting in Treasurys earning around 3%.
Over the past 50 years the S&P has averaged around ...
9
votes
1answer
362 views
Understanding differences between S&P500 index-tracking ETFs
I'm trying to understand the difference between S&P 500 trackers. Example:
SPY
IVV
VOO
They all have different prices (IVV being $1 more, on average than SPY, and VOO being about 50% ...
8
votes
3answers
475 views
What low-fee & liquid exchange-traded index funds / ETFs should I consider holding in a retirement portfolio?
I'm still (one year later) going through an exercise to restructure my retirement portfolio.
To date, I've been using a mix of exchange-traded index funds. Some trade on the TSX, and others trade in ...
8
votes
1answer
78 views
What are the differences in taxes rules for specialty ETFs such as GLD (Gold ETF) and general ETFs?
I am on 15% tax bracket. In terms of shot term hold and long term hold, I want to know what the differences in taxes rules for specialty ETFs such as GLD (Gold ETF) and general ETFs as are?
8
votes
3answers
182 views
What kinds of exchange-traded funds (ETFs) should specifically be avoided?
This is related to my other question. There, I was asking what exchange traded funds I should consider for inclusion in my retirement portfolio. That got me thinking: What kinds of exchange-traded ...
7
votes
3answers
2k views
Where to find out conversion ratio between General Motors bonds and new GM stock?
I bought some General Motors bonds (ETF-traded under "XGM" symbol) when they were at depressed prices, before GM declared bankruptcy. GM is supposed to be having an IPO sometime in November, and ...
7
votes
3answers
220 views
What to do with small dividends in brokerage account?
I just got paid some dividends from an ETF that I own. It is only $4, which is sitting as cash in my brokerage account. I'm aware that this is a very tiny amount of money in the grand scheme of ...
7
votes
1answer
68 views
FTSE exposure in US Exchanges
Is there a FTSE 100 index futures contract that trades on the US exchanges? Thanks
I think there is an ETF but I am looking for futures, mainly for charting purposes.
7
votes
2answers
188 views
What are these fees attached to mutual fund FSEMX?
Could somebody please explain these fees attached to FSEMX?
Annual Report Expense Ratio (net)
Prospectus Net Expense Ratio
Prospectus Gross Expense Ratio
Finance.yahoo.com indicates that they are ...
7
votes
1answer
148 views
What is the least-bad way to invest a Simple IRA with heavy fees around every corner?
Given the following situation:
an employer-offered "Simple IRA" run by a major brokerage with 1% gross pay matching;
No near-future feasible opportunity to invest the Simple IRA contribution in a ...
6
votes
3answers
331 views
Should I buy individual bonds for my retirement portfolio, or stick to funds/ETFs?
To avoid the fees on bond mutual funds or exchange traded funds I have been thinking of buying actual bonds inside of my retirement portfolio. Does that make sense or are there drawbacks to consider?
6
votes
3answers
176 views
How do I calculate the current risk involved with US Bond Index Funds?
For months I have been trying to wrap my head around the concept of risk involved with the US Bond Index Funds in my portfolio. My initial conclusion is that the risk of long-term damage to my ...
6
votes
7answers
582 views
Are there any Social Responsibility Index funds or ETFs?
Are there any Index Funds or ETFs that focus on Socially Responsible Investing, or will I have to choose my own basket of stocks?
6
votes
1answer
129 views
Starting off as an investor
For 2 years I am alternating between 4 months of work and 4 months of school, so for the first time in my life, I have a lot more money than I need. I will be graduating in 15 months and am looking ...
6
votes
3answers
193 views
What factors affect the yield and “trade value” on an exchange of a junk bond ETF?
In an effort to further my grasp of financial derivatives available for speculation and losing money, I realize I need further understanding of how "high-yield corporate", aka junk bond ETF's, "work" ...
6
votes
2answers
96 views
How are active ETFs possible?
I'm having trouble wrapping my head around how it's possible to have these new active ETFs. How do they operate, realistically?
I mean, the point of ETFs (as a structure) is that arbitrageurs can ...
6
votes
2answers
272 views
What types of ETFs are taxed differently by the IRS?
How does the IRS calculate taxes for ETFs? Until recently, I thought they were taxed the same as stocks, but I recently purchased a gold ETF (IAU) and have to pay a small capital gains tax even though ...
6
votes
1answer
931 views
Which US market indexes (Dow/DJIA, S&P500, NASDAQ) include reinvested dividends?
Which major US market indexes (Dow/DJIA, S&P 500, NASDAQ) include returns from reinvested dividends, and which don't?
Where can "total return" information be found for each index that doesn't ...
5
votes
5answers
608 views
Roth IRA = Emergency Fund. Any Safe Investments?
I've been building my emergency fund through automatic deposits into a Roth IRA at TDAmeritrade. This has been working well, since the money is out of sight, out of mind, and I can easily withdraw it ...
5
votes
5answers
406 views
Can you beat the market by investing in double long ETFs?
Certain ETFs double the daily rate of return of certain indices.
Can you use such ETFs to beat the market (not on a risk-adjusted basis, just in terms of pure returns)?
I have read that
When ...
5
votes
8answers
440 views
Should I sell when my stocks are growing?
I have a collection of stock that on average have grown 8% in the last few months. Should I sell now? This is a normal account, meaning tax is of no help.
I never understand why people sell while ...
5
votes
3answers
217 views
What ETF best tracks the price of gasoline, or else crude oil?
Is there an ETF that very closely tracks the price of gasoline? In lieu of that, which ETF best tracks the price of crude oil?
5
votes
3answers
457 views
Where are Bogleheadian World ETFs or Index funds?
The term bogleheadian is a bit ambiguous term but its simplification means low-cost, diversified, tax-efficient -- solutions. The slant is ETFs or index funds.
William Bernstein wrote in some of his ...
5
votes
3answers
168 views
Why are ETF MERs lower than mutual fund MERs?
Why are exchange traded fund (ETF) management expense ratios (MERs) lower than mutual fund MERs?
5
votes
2answers
102 views
Investments backed by physical Diamonds?
I understand people can invest in Gold via ETF's which are investments backed by physical gold. My question is, do investments exist which are physically backed by Diamonds?
5
votes
2answers
343 views
Using P/E Ratio of an ETF to decide on asset mix
I am a conservative investor with an asset mix of around 50% bonds/cash and 50% stock via large index ETFs. Recently I've been thinking about settling down on a non-emotional way to decide whether ...
5
votes
2answers
297 views
Should you diversify your ETF investments between companies?
I've found a number of interesting index funds, of which a lot are run by Vanguard. However, since I'm diversifying my investments between index funds, it seems sensible that I'd want to make sure all ...
5
votes
3answers
225 views
Do ETF managers charge management fees on top of transaction fees?
I see that ETFs do work very similar to diversification of individual stocks following either an industry or an index. I am thinking of changing my strategy to reduce my cost of investing which at ...
5
votes
1answer
874 views
Where can you find historical PEs of US indices?
Indices tracking ETFs
* DIAMONDS Trust I (ticker: DIA) tracks DJIA
* SPDRs (ticker: SPY) tracks S&P 500
* NASDAQ 100 Trust (ticker: QQQQ) tracks NASDAQ 100
* iShares Russell 2000 (ticker: IWM) ...
5
votes
3answers
201 views
Fund or ETF that simulates the investment goals of an options “straddle” strategy?
With all the market volatility of late, I was thinking that it might be a good short term strategy to employ a straddle approach.
For those not familiar with Options trading: This is a strategy ...
5
votes
2answers
110 views
Does it make sense to talk about an ETF or index in terms of technical indicators?
For example, a story today talked about SPY approaching support levels. Given that the price of the ETF is essentially determined by the price of its constituents, does this even make sense? Do ...
5
votes
1answer
73 views
Is there a website which shows indexes and their corresponding ETFs?
I am looking for a website which shows a list of indexes and their corresponding ETFs. Specifically, I'm looking for a list where the first column lists indexes from around the world and the second ...
5
votes
1answer
118 views
Are there any funds tracking INDEXDJX:REIT?
I'm looking to get into real estate, and topic index seems promising on a 5-10 year scale.
Are there any ETFs, or mutual fund products offering to track this index?
4
votes
3answers
346 views
Long Term Cash-Equivalent ETFs for “cash” allocation
My retirement account goal analyzer advises that I keep 3% in cash. My retirement date is over 30 years from now, so I can tolerate heavy volatility and certainly don't need liquidity. Does it make ...
4
votes
2answers
272 views
Where can I find ETFs that go up when the market goes down?
If the general market index goes down, is there a concept of an ETF that will go up on those scenarios?
4
votes
2answers
385 views
Pros & cons of buying gold directly vs. investing in a gold ETF like GLD, IAU, SGOL?
Google search brings up some articles on this topic, but they can be biased, so:
What are the advantages and disadvantages of buying physical gold vs. investing in a gold ETF like GLD, IAU, or SGOL? ...
4
votes
1answer
66 views
Is there an ETF for commodities without heavy emphasis on precious metals?
Is there an ETF that holds a basket of common industrial commodities (copper, oil, corn, etc.), but places less emphasis on "hoarded" metals such as silver and gold?
4
votes
1answer
243 views
I would like to publicly share the details of my investment portfolio. What websites add value in this regard?
I want to have the ability to share the details of my holdings and have a website track the return over time while making this information 100% public to anyone who may be interested. What websites ...
4
votes
1answer
668 views
Are TD e-Series Funds worthwhile, or am I better off with ETFs? Why or why not?
I'm looking at e-Series funds offered by TD. They have low MERs and seem to offer a good low cost alternative to traditional mutual funds. What do you guys think? Am I better off with ETFs? Why ...
4
votes
2answers
50 views
International (ex-US) ETFs with low exposure to financial sector?
I've noticed that many international ETFs (especially emerging market funds) have a large stake in the financial sector. Are there any ETFs that de-emphasize financials?
Conversely, are there any ...
4
votes
2answers
192 views
Are bond ETF capital gains taxed similar to stock or stock funds if held for more than 1 year?
Are gains on bond ETFs held for more than one year taxed at a lower rate, similar to stocks and funds holding stocks? I'm referring to the change in price of the fund, not dividends.
4
votes
1answer
129 views
What does the “SEC 30-Day Yield” mean for a Bond ETF?
I'm currently a student awaiting admission into grad school and have about $10,000 in a Scott Trade account ready to invest. Because I'll be using the money to pay for moving expenses and anything ...
