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The IC guide to Exchange Traded Funds

How to make the most out of these cheap investment products
The IC guide to Exchange Traded Funds

Key points:

  • Exchange traded funds (ETFs) are passive funds which simply track the performance of an index
  • They can be used to invest in a range of different asset classes
  • ETFs are a cheap and easy way to get investing

Exchange-traded funds (ETFs) are hugely popular with investors for good reason. Cheap, simple and transparent, they offer a straightforward source of exposure to a growing list of different investments, from stockmarkets such as the FTSE 100 to gold, oil, bonds and more niche strategies. ETFs can work well as the building blocks of an investment portfolio, both for beginners and those with greater experience.

A step-by-step guide to using ETFs

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