What are ETFs?

An exchange traded fund (ETF) is a managed fund which is traded on the stock exchange.

ETFs come in different shapes and sizes including, shares or bonds, domestic or international, small cap or large cap, hedged or unhedged.

They can also be sector specific products such as property, commodities, gold, oil and banks.

There are even diversified ETFs that offer low-cost access to thousands of securities across a wide variety of asset classes in a single trade.