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ETFs Explained: What are Exchange-Traded Funds? History, Differences with Mutual Funds and More

ETFs Explained: What are Exchange-Traded Funds? History, Differences with Mutual Funds and More

FromGimme Some Truth | Investing, Financial Advice for High-Net-Worth Families and Individuals


ETFs Explained: What are Exchange-Traded Funds? History, Differences with Mutual Funds and More

FromGimme Some Truth | Investing, Financial Advice for High-Net-Worth Families and Individuals

ratings:
Length:
27 minutes
Released:
May 13, 2022
Format:
Podcast episode

Description

We've covered Exchange-Traded Funds – commonly referred to as ETFs – in myriad ways on Gimme Some Truth previous to this episode. But we've never truly dedicated an episode to ETFs. So this is us doing exactly that, zooming out to go over the basics of ETFs, their history, how they compare with mutual funds, and more.
Mitch DeWitt, MBA, and Jonathon Jordan, CEPA – two of the three Certified Financial Planner™ professionals in the Walkner Condon office – sit down to cover an introductory look at ETFs, including how Mitch is, in fact, slightly older than the first established ETF, SPDRs (Ticker: SPY), but too young to understand the wonders of listening to Poison on cassette with a Walkman – unlike Jonathon. 
A key part of the conversation involves contrasting ETFs with mutual funds, where Jonathon brings to the fore a great analogy involving piloting. And the subject of investing in ETFs vs. individual stocks also surfaces the idea of time in the market vs. trying to time the market, a common theme with how 2022 has gone so far in the markets, especially lately. Jonathon references the figure that if you missed out on the 10 best days in the market since 1930, your overall return would be 28%. And if you had stayed the course through the good days and bad, your return would be more than 17,000% (and that's not a typo).
Questions, comments or anything else? Don't hesitate to reach out to us via email at podcast@walknercondon.com.
LINKS
Jim Collins:  Good to Great
CNBC: Missing Out on the Top 10 Days in S&P Every Decade Since 1930
Investopedia: A Brief History of ETFs
Investopedia: ETF Guide
Watch on YouTube
Walkner Condon's YouTube Channel
Contact Us
Meet with an Advisor

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Released:
May 13, 2022
Format:
Podcast episode

Titles in the series (100)

In a world full of financial information – and misinformation – what do you believe and incorporate into your life, and what do you throw away? As an independent, fee-only financial advisor, one of our founding pillars is education. Through accessible, transparent communication, we help filter out the noise for our clients to allow them to focus on their financial future. The goal of our podcast, Gimme Some Truth, is no different. From the corner of Monroe St. in Madison, WI, we cover the intersection of financial planning, investing, and everyday life. Disclosure: walknercondon.com/podcast