FYI: The exchange-traded fund has been a disruptive force in the financial industry. Assets in ETFs have risen at an annual clip of about 20% since the financial crisis, to more than $4 trillion. The natural cost efficiency of the ETF has eroded asset managers’ profit margins, but to the benefit of the average investor.
Any investor can buy the entire stock market for a fraction of what it cost a decade ago—in fact, it’s virtually free. ETFs’ low costs and transparency also have enabled professionals to use them as building blocks to mass-customize portfolios and algorithms—robo-advisors—to do the same. With more than 2,200 ETFs that slice up the markets by geography, market value, and styles, such as growth and value, it’s also easier for investors to go the do-it-yourself route.
Regards,
Ted
https://www.barrons.com/articles/how-to-use-etfs-to-personalize-your-stock-market-portfolio-51556924314?mod=past_editions
