- (1:00) - What Is The Difference Between ETFs and Mutual Funds?
- (8:30) - The Heart Beat Trade: What Exactly Is It?
- (15:00) - The Importance Of Due Diligence With ETF Investing
- (27:45) - Understanding The Liquidity Of An ETF
- (31:50) - Top Picks For Long Term Investing
- (38:15) - Which New ETFs Should Investors Keep On The Radar
In this episode of ETF Spotlight, I speak with Elisabeth Kashner, Director of Global Fund Analytics at FactSet, about ETF due diligence and best ETFs for long-term investing.
2020 was a great year for ETFs, with inflows exceeding $500 billion, while mutual funds lost about $362 billion, per Bloomberg data. Investors prefer ETFs now as they are generally more tax efficient, cheaper and easier to trade.
Some fund providers have started converting their mutual funds into ETFs. We discuss the why ETFs are so tax efficient and ETF due diligence.
Elisabeths favorite ETFs for long term investing are Vanguard Total Stock Market ETF VTI, Vanguard Total International Stock ETF VXUS, Vanguard Total World Stock ETF VT, iShares Core U.S. Aggregate Bond ETF AGG and Vanguard Total International Bond ETF BNDX.
The Invesco QQQ ETF QQQ and its cheaper version Invesco NASDAQ 100 ETF QQQM hold many highly innovative companies. Apple AAPL, Microsoft MSFT, Amazon AMZN and Tesla TSLA are the top holdings in these funds. I believe they also deserve a place in the portfolio.