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Investments glossary

Stock Exchange-Traded Fund (ETF)


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Quotes of the day:

Those noble men who falsehood dread In wealth and glory ever grow, As flames with greater brightness glow With oil in ceaseless flow when fed.

— Sanskrit Proverb

A stock ETF, or exchange-traded fund, is an asset that tracks a particular set of equities, similar to an index. It trades just as a normal stock would on an exchange, but unlike a mutual fund, prices adjust throughout the day rather than at market close. These ETFs can track stocks in a single industry, such as energy, or an entire index of equities like the S&P 500. Other tracking methods include the Stochastic Oscillator and the Stochastic Momentum Index.

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