How are ETFs different from index funds?

How are ETFs different from index funds?

ETF (Exchange Traded Fund) is a fund that combines the strengths of index funds and stocks together. Which we can trade ETFs in real-time like a stock in the stock market right away. which is managed by Asset Management Company Limited

The difference between ETFs and mutual funds

- ETF trading costs are lower

- ETFs have minimum investments. While mutual funds must specify the investment amount.

- ETF operated by SET It is like real-time stock trading, but mutual funds must be traded at the time specified by the asset management company.

The difference between ETFs and stocks

- Buying stocks is an investment in only one company, but with ETFs, investors' investments will be distributed to buy all securities that the ETF is based on the index.

- ETFs have market makers or market makers, unlike stocks that don't have market makers.

There are five types of ETFs listed on the Stock Exchange of Thailand.

- Equity ETF / Index ETF: Based on the domestic stock price index.

- Sector ETF: Based on industrial sector stock price indices.

- Gold ETF: Based on the gold price index.

- Foreign ETF: Based on foreign stock price indices.

- Bond ETF: Based on bond price index.

ETF returns

- Profit from price difference (Capital Gain)

- Dividends (Dividend) that depend on the ETF's policy.

-------------------------------------------------------------------------------------

Details of online marketing services