1. Different risk-taking ETF index funds are based on the set categories, and all stocks in this category are purchased according to different weights and optimized.

Therefore, ETF index funds buy a basket of stocks, which can maximize the diversification of investment risks and effectively avoid the risk of being caught by buying a single stock.

2. Gaining different returns. ETF index funds have smaller fluctuations, generally similar to the rise and fall of the market index or sector index they track.

It is difficult to achieve excess returns, and there is basically no chance of rising or falling.

Judging from historical experience, on a one-year cycle, investors who buy ETF index funds have a profit rate of more than 50%.

For investors who buy stocks, the profit rate does not exceed 10%.

3. Different transaction costs: ETF index funds do not need to pay stamp duty when buying and selling, which can reduce transaction costs.

The trading method of ETF index funds is the same as that of stocks. You can also buy or sell with one click according to the code corresponding to the fund.

4. The risks and benefits of different applicable groups are equal.

Those who pursue high returns on stocks and are willing to take high risks in trading mainly buy and sell stocks.

Those who pursue stable returns from stocks and are unwilling to take too high risks can buy and sell ETF index funds.

For those investors who do not have the ability to select stocks and do not have free time to trade, ETF index funds are undoubtedly a better choice.