| Investments |
Offer a diverse range of stocks and bonds, aiming to outperform the market. |
Consist of a broad selection of stocks and bonds, designed to mirror a specific index or asset class. |
| Trading availability |
Can only be traded at the end of the day, after 4 p.m. Eastern. |
Can be traded throughout the day, providing flexibility to investors. |
| Share price |
Value is based on NAV after market close. |
Price fluctuates throughout the day, similar to individual stocks. |
| Fees |
Fee structure can vary from low to high. |
Generally have low fees compared to mutual funds. |
| Management |
Often actively managed by a professional investment advisor. |
Typically passively managed, tracking the performance of an index. |
| Who holds them |
Commonly included in employer-sponsored retirement plans. |
Preferred by individual investors for IRAs or taxable accounts. |
