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Do you have that nagging feeling signaling you need to know more about how to invest if you’re going to reach your life and financial goals?
You may have read about how to invest with index funds here at Financial Woman. Investors can easily invest in stock and bond indexes with either mutual funds or etf’s (exchange traded funds). (Remember, smart investors always check the price tag before buying anything, and understand the markets or work with a financial advisor.)
Both index funds and etf’s have advantages and disadvantages for investors. Investor’s Business Daily has a good article about etf’s, ETFs Are Suitable Investment Vehicle For Both Young And Old.
The article states:
For Ann Minnium, a principal at Concierge Financial Planning in New Jersey, the standout feature of ETFs is their versatility. While both ETFs and mutual funds can provide a diversified portfolio of stocks and bonds, mutual funds tend to have high-dollar minimums.
“With ETFs, you can buy (just) one share,” she says. The low barrier to entry is a main draw of ETFs, especially for the young, but Minnium notes that older investors have as much to gain.
Read the entire informative article here. This is important to know whether you invest own your own or with a financial advisor.
Source: Investor’s Business Daily