What exactly is an ETF portfolio?

July 8, 2024 No Comments

A: An exchange-traded fund (ETF) portfolio is simply a portfolio, or group of investments, that consists entirely of ETFs. ETFs are very much like mutual funds in that they are a basket of stocks or other assets that are managed in either a passive or

What is the automotive sector?

July 8, 2024 No Comments

In the world of finance, the automotive sector represents the financial performance and economic variables related to automobile manufacturers, dealerships, original equipment manufacturers and auto maintenance companies. The U.S. Department of Labor recognizes the manufacture, sales, servicing and production of spare parts as part of

What is the best way to get exposure to electric cars when investing in the automotive sector?

July 8, 2024 No Comments

A: Investors interested in electric cars have a variety of options. Automakers such as Tesla Motors exclusively manufacture electric vehicles and may be directly invested in by purchasing stock. Companies within the automotive sector that manufacture vehicle parts or supply raw materials used in producing

What is the difference between iShares, Vanguard ETFs and Spiders?

July 8, 2024 No Comments

A: iShares, Vanguard ETFs and spiders each represent different exchange-traded fund (ETF) families. In other words, an individual company offers a range of ETF types under one product line. Because these ETF families are constructed and operated by different companies, you will find differences in

What is the QQQ ETF?

July 8, 2024 No Comments

The PowerShares QQQ, previously known as the QQQQ, is a widely held and traded exchange-traded fund (ETF) that tracks the Nasdaq 100 Index. The Nasdaq 100 Index is composed of 100 of the largest international and domestic companies, excluding financial companies, that are listed on the

What types of futures contracts are typically sold on an exchange?

July 8, 2024 No Comments

A: There are futures contracts available and traded on exchanges for virtually every class of investment asset, ranging from agricultural commodities to stock index futures. The earliest known futures exchange was established in Japan in 1710 for trading rice futures, although informal futures trading in

What types of stocks have a large difference between bid and ask prices?

July 8, 2024 No Comments

A: The bid-ask spread is the difference between the highest offered purchase price and the lowest offered sales price for a security. The spread is often presented as a percentage, calculated by dividing the difference between the bid and ask by either the midpoint or

Where can I find the P/E ratios for the Dow and S&P 500?

July 8, 2024 No Comments

A: The price-to-earnings (P/E) ratio is one of the most frequently used and trusted stock valuation metrics. It is calculated by dividing a company’s share price by its earnings per share. This provides a measure of the price being paid for the earnings. A high P/E ratio signifies greater investor

Why can you short sell an ETF but not an index fund?

July 8, 2024 No Comments

A: To answer this question, we should first define exactly what an index fund is. An index fund is a mutual fund, or a basket of stocks sold by a mutual fund company, that attempts to mimic or trace the movements of a given index.

What are all of the securities markets in the U.S.A?

July 8, 2024 No Comments

A: The three major U.S. financial securities markets are: New York Stock Exchange (NYSE): The NYSE is a stock exchange based in New York. In April 2007, the New York Stock Exchange merged with a European stock exchange known as Euronext to form what is currently NYSE

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