What is the difference between exchange traded funds and mutual funds?

1 Answer

Answer :

Most mutual fund investors take advantage of their fund's automatic dividend reinvestment feature. That saves them the hassle of deciding what to do with the cash that comes their way periodically. If and when the mutual fund pays out a cash dividend, your cut of the dough is automatically reinvested in shares, or partial shares of the fund.

Related questions

Description : A fund that tracks an index but can be traded like a stock is known as _______ A. Exchange Traded Funds(ETF) B. Mutual Funds C. Energy Funds D. Investment Fund E. None of the Above

Last Answer : A. Exchange Traded Funds(ETF) Explanation: An ETF(Exchange Traded Fund) is a marketable security that tracks an index, a commodity, bonds, or a basket of assets like an index fund. Unlike mutual funds, an ETF trades like a common stock on a stock exchange.

Description : Was there an exchange where Bernie Madoff traded funds?

Last Answer : Bernie Madoff traded on the NASDAQ as well as NYSE. But the problem was more importantly with the funds that he did not trade and used to provide fake returns to investors

Description : what are gld exchange traded funds?

Last Answer : Gold exchange traded funds tracks the price of gold they are also traded on major stock exchanges.

Description : According to the private property defense of the classical model of corporate social responsibility, managers who use corporate funds for projects that are not directly devoted to maximizing ... . Stockholders in publicly traded corporations are better understood as investors rather than owners.

Last Answer : C. Investors buy their stocks with the hope of maximizing return on their investment. D. Stockholders in publicly traded corporations are better understood as investors rather than owners.

Description : What is sold for goods?

Last Answer : the commodity exchange trades in raw materials it includes the crop exchange the stock exchange trades in shares (shares in companies) and their derivatives and its part is the money exchange, where the mutual ... yen or voting rights in the general meeting, but in practice you won't even touch it

Description : Which of these is a sort of average that takes into account the price of many stocks that are traded on the exchange?

Last Answer : index

Description : Where do you suggest putting some cash in the US for interest yield but without the risk of stocks, mutual funds or ETF?

Last Answer : To start I would save $5,000 in a high interest savings account. To at least one years worth of savings for an emergency account. Before you start playing on the stock market. Low yield savings bonds are good . Only buy stocks if you can afford to lose that investment. I am not a financial expert.

Description : Why are businesses rarely offered precious metal mutual funds by their 401k management company?

Last Answer : Even in mutual fund market, precious metals are very high risk and may burn even very savvy fund managers

Description : Are Mutual Funds as Big and Prosperous in other countries as they are in the U.S?

Last Answer : The European market is quite competitive, look for places like London and Luxembourg, I believe they’re the main players outside of the US.

Description : Anyone know of any good Alternative Energy mutual funds?

Last Answer : you may have to assemble your own “fund” of individual stock issues. I have looked at www.socialinvest.org for their sort of funds but they do not specifically have alt energy funds, but there may be some that would mostly fit your criteria.

Description : Is there a way to compare mutual funds?

Last Answer : answer:* ALWAYS REMEMBER TO CHECK THE DATE ON ANY MATERIALS EITHER PRINTED ON FOUND ON THE WEB !! * you might something good in these links. For those who need to know what no-load ... our trading site or through a Scottrade Branch Office. The prospectus should be read carefully before investing.

Description : In which year were Private Sector Mutual Funds in India permitted? -Do You Know?

Last Answer : answer:

Description : mutual funds provide stability to share prices safety to investors and resources?

Last Answer : Hedge funds are not mutual funds as hedge funds cannot be sold to the general public

Description : What annuity can individuals choose to invest purchase payments from a range of investment options which are typically mutual funds?

Last Answer : variable annuity

Description : Are typically comprised of a mix of and . AStocks bonds index funds BBonds index funds mutual funds CMutual funds stocks bonds DStocks index funds bonds?

Last Answer : What is the answer ?

Description : How does mutual Funds SIP WORKS?

Last Answer : SIP or Systematic Investment Plan or SIP mutual fund is one of the most searches by people on Google. Many investors want to know about SIPs. Via SIPs you can become millionaires or billionaires by ... are assumed returns & actual returns may vary.For more details, kindly click the following link:-

Description : Are mutual funds able to be held in a registered retirement savings plan?

Last Answer : A registered retirement account can invest in stocks, bonds and mutual funds.

Description : Are mutual funds insured Are municipal bonds insured?

Last Answer : Neither Mutual funds nor municipal bonds are insured. You can however purchase insurance on them

Description : Where online can I compare mutual funds?

Last Answer : There are hundreds of mutual fund companies out there. Some of the best companies are Barons, Fidelity, and Mutual Funds of America to name a few.

Description : Are stock mutual funds a good investment?

Last Answer : Stock mutual funds are a good way to get started once you understand a little bit more about them. You can find out more information about them at Investopedia.

Description : Where can I buy mutual funds online at?

Last Answer : There are several sites that offer information about mutual funds available. One of the best is www.mint.com/invest/mutual-funds/. It is a free site that tells what a mutual fund is & how to buy or sell them online.

Description : Where can I find a bank that allows mutual funds and free checking?

Last Answer : Most banks will allow free checking with a certain amount of a deposit. Also, a lot of banks do mutual funding as well, you can check with any local bank in the phone book.

Description : What are forex mutual funds and what do they invest in?

Last Answer : Hey, buddy,  I want to tell you that I earn over 2000$ dollars a week from trading and I'm sitting at home, plus I'm a rookie in this business and I started learning less than a month ago, I don ... delve more into each one later as I explain how to browse and trade in detail.  Link in the bio  

Description : What is forex mutual funds exactly?

Last Answer : Forex mutual funds trade foreign currencies,are very liquid and difficult for individual investors to access. Look for a broker that specializes in these funds.

Description : What are the best guides to mutual funds?

Last Answer : There are a lot of good guides about mutual funds out there. One place that will be extremely helpful for mutual funds is at http://mutualfunds.about.com/

Description : A commission or fee paid, when an agent or an individual sells an investment such as mutual funds or annuity is known as _________ A. Redemption fee B. Service Charge C. Regressive tax D. Sales tax

Last Answer : A. Redemption fee Explanation: A mutual fund redemption fee, also referred to as a -market timing fee , or -short-term trading fee , is a charge by a mutual fund company to discourage investors from ... (i.e. a purchase, typically a transfer, followed by a sale within a short period of time).

Description : D) ICICI Bank Explanation: New features will enable customers to instantly pay taxes and book railway tickets within the app. iMobile users will also be able to purchase travel & motor insurance as well as buy mutual funds from 19 asset management companies.

Last Answer : According to HSBC, India is expected to contribute how much of the world GDP by the middle of next decade? A) 4.3% B) 4.9% C) 5.2% D) 3.4% E) None of these

Description : When an agent asks a customer to invest in a Mutual Fund product without telling him/her about the risks involved in the investment, the process is termed as ______ A. Mis-selling B. Undertaking C. Misappropriation of Funds D. cross selling E. None of the Above

Last Answer : A. Mis-selling Explanation: The act of selling something that is not suitable for the person who buys it.

Description : Who among the following are institutional investors in the Indian Debt Market? A. Banks B. Mutual funds C. Foreign investors (FIIs) D. Trusts E. All of the Above

Last Answer : E. All of the Above Explanation: Institutional investors operating in the Indian Debt Market are : Banks Insurance companies Provident funds Mutual funds Trusts Corporate treasuries

Description : Which of the following can be provided by small finance banks A. Mutual Funds B. Insurance Products C. Third Party financial products D. All of the Above E. None of the Above

Last Answer : D. All of the Above Explanation: Small finance banks can distribute mutual funds, insurance products and other simple third-party financial products.

Description : Which of the following services is NOT provided by the post offices in India ? A. Savings Bank Scheme B. Retailing of Mutual Funds C. Sale of stamp Papers (Judicial) D. Issuance of Demand Drafts E. Life Insurance cover

Last Answer : D. Issuance of Demand Drafts Explanation: Issuance of Demand Drafts is NOT provided by the post offices in India.

Description : Which one is not the form of FDI A. Purchase of existing assets in foreign currency.B. New Investment in Property, planet and equipment. C. Making investment is the mutual funds D. Transfer of many type of asset

Last Answer : Purchase of existing assets in foreign currency.

Description : 3. Which of the following is a NOT component of M-2? a. small time deposits b. money market mutual funds c. stocks d. checkable deposits

Last Answer : c. stocks

Description : ................ is the ability of multiple process to co-ordinate their activities by exchange of information A) Synchronization B) Mutual Exclusion C) Dead lock D) Starvation

Last Answer : A) Synchronization

Description : The greatest security for a banker is that a________ a. Bill of Exchange b. Mutual fund c. Commercial Paper

Last Answer : a. Bill of Exchange

Description : Symposium is a Options: A) A well organised group of a few speakers with large audience B) Arrival at the certain goal through mutual exchange of ideas C) Process of taking decisions in a group D) All of the above

Last Answer : D) All of the above 

Description : The advantage of Conference is Options: A) Development of democratic values B) Guidance of new-researchers C) Mutual exchange of ideas D) All of the above

Last Answer : D) All of the above 

Description : What’s more precious than rubys, more lasting than gold, what can never be traded stolen or sold, what comes with great effort, takes time but then once yours will serve you again and again? -Riddles

Last Answer : Knowledge.

Description : The cost of making only the maker knows, Valueless if bought, but sometimes traded. A poor man may give one as easily as a king. When one is broken pain and deceit are assured. What am I? -Riddles

Last Answer : A Promise.

Description : The cost of making only the maker knows, Valueless if bought, but sometimes traded. A poor man may give one as easily as a king. When one is broken pain and deceit are assured. What is it? -Riddles

Last Answer : Promise.

Description : What is being traded through e-commerce ?

Last Answer : Fancy stuff.

Description : Instruments traded in money market?

Last Answer : There is alot of different instruments who is traded at the money market. Ive sold a Yamaha syntetizer some years ago for about 50% of what it was worth, so if you have the knowledge, you can ... market. I think all different instruments are sold on the market, for example guitar, bases, pianos etc.

Description : How many African slaves traded to europeans and Muslims merchant in Africa?

Last Answer : Need answer

Description : What did the American Indians traded furs with the french and dutch for?

Last Answer : beads guns and metal items

Description : What was traded from Africa to the West Indies?

Last Answer : rum

Description : Which of these terms is used to describe the ability of securities to be traded quickly and easily?

Last Answer : liquid

Description : Is Kenworth a publicly traded company in the US?

Last Answer : Kenworth is a division of PACCAR, Inc. PACCAR, Inc. is publicly traded in the NASDAQ stock index. PACCAR, Inc.'s trading symbol is PCAR.

Description : By 800 A.D., Ghana had become a powerful trading center in West Africa. What were two of the most important goods traded by Ghana?

Last Answer : The two most important trade items were gold and salt.

Description : How many publicly traded companies are in the world?

Last Answer : Well, according to Yahoo! stock screener (a free service that lets you find stocks that meet criteria you choose there are 19350 companies from around the world in its database.

Description : Which animal is most illegally traded animal in the world? A. Elephants B. Pangolin C. Rhinoceros D. Turtles

Last Answer : ANSWER: B