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How do mutual funds and ETFs accomplish diversification?
Mutual Funds and ETFs both are investment pools. As an investor in Mutual Funds and ETFs, you do not directly invest in any asset, you will be putting your money in an investment pool. Your fund manager, the manager of Mutual Funds and ETFs, will invest the money in various markets like stocks, reaRead more
Mutual Funds and ETFs both are investment pools. As an investor in Mutual Funds and ETFs, you do not directly invest in any asset, you will be putting your money in an investment pool. Your fund manager, the manager of Mutual Funds and ETFs, will invest the money in various markets like stocks, real estate or even crypto currency. Mutual Funds and ETFs are considered less risky compared to directly investing in the stock market.
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