Is an ETF a good investment? Expert advice
TORONTO — Exchange-traded funds have exploded in popularity, and so have investment strategies based only on ETFs, but some investors might be wondering whether that could lead to their portfolio being too diversified.
Financial experts say allocating an entire portfolio to ETFs can be a viable strategy, but it’s important for investors to know what holdings are in the funds they’re buying.
When looking at portfolio diversification for ETF-focused investors, Jonathan Rivard, general principal at Edward Jones, said it’s important to consider the individual’s time horizon and risk appetite.
“You could absolutely be 100 per cent invested in ETFs. But you want to know what’s in the ETF and what the allocation looks like. Some…
