What is an ETF and how to trade it?
The number of assets used in exchange trading is growing daily, currently numbering in the tens of thousands.
A wide variety of items are traded on exchanges – metals, currencies, cryptocurrencies, futures, securities, and indices on these securities.
However, new trading instruments are emerging every year. For example, while stock indices were once common, ETFs have recently emerged.
ETFs (Exchange Traded Funds)
are essentially a type of index that reflects the value of an investment portfolio created by a specific company and listed for trading as a single share.
For this reason, the use of ETF shares in the formation of investment portfolios of non-state pension funds in the United States is permitted.
And this is not surprising, because you are, in a sense, buying shares of an investment company, and their price is constantly rising.
In fact, ETFs are almost the only asset on which it can still be applied buy and hold strategy so popular in the eighties of the twentieth century.
This type of investment is ideal for long-term investment. Analysts predict annual growth of 15-30% in this market segment, and using leverage, you can easily increase this figure several times over.
At the same time, ETFs can be traded like regular stocks:
- There are currently over 1,000 ETFs available
- The use of leverage is permitted
- A spread is charged for opening trades
- The minimum price of 1 share is 10 US dollars
- Minimum deposit from $100
It's possible to trade ETFs based not only on US assets but also on those of other countries, including Russia.
If you're interested in this offer, you can try using ETFs in trading with RoboForex brokerage firm RoboForex – https://www.roboforex.com/ru/forex-trading/assets/etf/
