ETF Asset Class: Equity

ETFs, or exchange-traded funds, are a type of investment vehicle that allows investors to trade on an underlying asset class. ETFs can be bought and sold like stocks on a stock exchange, and they usually track a particular index, sector, or asset class. Equity ETFs, as the name suggests, are ETFs that track an equity index, such as the S&P 500. These ETFs offer exposure to the U.S. stock market, and they can be a good way to diversify a portfolio. Equity ETFs are typically more volatile than bond ETFs, but they can also provide higher returns over the long term.

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