Investments
Investments
11th Edition
ISBN: 9781259277177
Author: Zvi Bodie Professor, Alex Kane, Alan J. Marcus Professor
Publisher: McGraw-Hill Education
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Chapter 4, Problem 6PS
Summary Introduction

To determine:

Disadvantage and advantage of mutual funds versus exchange trade funds.

Introduction:

Exchange traded fund stands to be the investment vehicle which usually exist on the stock exchange. It provides trouble-free access to different class of asset by undertaking performance tracking associated with underlying indices. Mutual fund on the other hand, refers to the investment policy under which the funds are pooled from the investor and same is invested in different securities such as debentures, bonds and stocks. Mutual funds are advantageous for the small investor as it provides leverage to make investments in small amounts.

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