Exchange-traded funds (ETFs) have become a cornerstone of modern investment strategies. An ETF is a type of investment fund that is traded on stock exchanges, much like individual stocks. These funds can own a variety of financial assets such as stocks, bonds, currencies, and even commodities like gold bars. The assets and their weightings within each ETF are typically disclosed on the issuer’s website, either daily or quarterly. One of the primary advantages of ETFs is the diversification they offer, often comparable to mutual funds but with the added benefit of being traded like a stock on exchanges.