What The Heck Is An ETF?

What’s an ETF? This NYT article is a good introduction to exchange-traded-funds (ETFs). Mostly, ETFs are mutual funds that are pegged to financial indexes, but unlike a mutual fund, they can be traded throughout the day like a stock.The takeaway:

f you are making regular contributions over time – say, investing a certain dollar amount each week or month – buying an index fund is more cost-effective. If you are rolling over a lump sum, however, you might choose an E.T.F.

Exchange-Traded Funds: What You Need to Know [NYT]