What Is an ETF | Cosmetologist.org

An exchange-traded fund (ETF) is a type of investment fund that is bought and sold on stock exchanges, offering diversification and liquidity by owning a basket of financial assets such as stocks, bonds, and commodities. An ETF is a type of investment fund that is designed to track the performance of a specific market index, sector, or theme. The California Public Employees' Retirement System (CalPERS) uses ETFs as part of its investment strategy to manage its $400 billion portfolio. The global ETF market has grown significantly over the past decade. ETFs can be used to gain exposure to specific sectors or themes, such as technology or healthcare.