Best Practices for ETF Trading (NYSEArca:SPY, NYSEArca:FXI, NYSEArca:PHO, NYSEArca:FXP)
When it comes to ETFs versus mutual funds, we all know that the difference, at least the primary difference, is that ETFs are traded on an exchange. Now, that can be an advantage, but it could also quickly turn into disadvantage if you’re not careful with what you’re doing.
In the below Morningstar interview, Street One Financial President Scott Freeze discusses the utility of limit orders, indicative values, patience, and more for optimizing ETF trades.
Related: SPDR S&P 500 ETF Trust (NYSEARCA:SPY), iShares FTSE/Xinhua China 25 Index (NYSEARCA:FXI), PowerShares Water Resources (NYSEARCA:PHO), ProShares UltraSh FTSE/Xinhua China 25 (NYSEARCA:FXP).