3 ETFs That Can Make You Rich
For more than a year, volatility has been a way of life for investors. The uncertainty brought about by the coronavirus pandemic ultimately sent the CBOE Volatility Index, which measures the perceived volatility in S&P 500 (SNPINDEX: ^GSPC) options over the coming 30 days, to an all-time high in March 2020.
Even though volatility is almost always an excellent opportunity for long-term investors to put their money to work in great companies, some investors prefer to keep their distance from the market's wild gyrations. That's where exchange-traded funds (ETFs) can come into play.
An exchange-traded fund is a security that trades like a stock but holds a basket of stocks or bonds all at once. It offers a number of advantages, including instant diversification that can, in some cases, rival mutual funds, as well as the liquidity to buy and sell on an as-needed basis. Additionally, the diversification provided by ETFs can make them less volatile than owning individual companies, which may appeal to more conservative long-term investors.
Source Fool.com
