Securities ETF funds take the securities index as the tracking object and buy all or part of the constituent stocks in the index to follow the trend of the securities index.
Securities etf is an open-ended securities investment fund product listed and traded on the exchange, and the trading procedure is exactly the same as that of stocks. Etf is a special hybrid fund, which overcomes the shortcomings of closed-end funds and open-end funds. ETFs can track specific indexes, such as the SSE 50 Index. Unlike open-end funds, ETFs use a basket of index stocks to buy and redeem fund shares.
The advantages of brokerage etf code are as follows:
Advantages: 1 Diversify investment and reduce investment risks.
Passive portfolio usually contains more goals than general active portfolio. Increasing the number of targets can reduce the impact of the fluctuation of a single target on the overall portfolio, and at the same time reduce the fluctuation of the portfolio through the different effects of different targets on market risks.
Advantage 2. It has the characteristics of both stocks and index funds.
For ordinary investors, ETFs can also be split into smaller marketing units and traded in the secondary market of the exchange like ordinary stocks.