Index Funds vs ETF Investing | Stock Market For Beginners

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ClearValue Tax

ClearValue Tax

Күн бұрын

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@clearvaluetax9382
@clearvaluetax9382 Жыл бұрын
Join our EXCLUSIVE Investing Community at: ClearValueInvesting.com GET 3 FREE STOCKS when you open up a stock account here: a.webull.com/i/ClearValueTax Some helpful videos for you: Index Funds Explained For Beginners: kzbin.info/www/bejne/gqSrlIVrZ8x8qZo Index Funds vs. Stock Picking: kzbin.info/www/bejne/iZ67f56Mqq5meKM How to Invest in Stocks (for beginners): kzbin.info/www/bejne/mpOnmp2wesyibac
@ElonMuckX
@ElonMuckX Жыл бұрын
Be careful with ETF's, some are shorted heavily by Hedge Funds, just as much as Hedge's short AMC/APE/GME/etc. You can see it when, over the long term, they don't go up much.
@kalayabanathhumblegadite2884
@kalayabanathhumblegadite2884 11 ай бұрын
Thank you for this, I was looking at the wrong video first. I saw someone on linkedin speaking about ETF's and I was intrigued. Thank you for all your videos
@a32tl
@a32tl 11 ай бұрын
I love ETFs. Find about 3 that are really good that you like. Buy them and keep buying them over and over and over, adding more and more shares as the years go by. Reinvest your dividends and stay the course. Practice that discipline and you will likely be very glad you did one day. The younger you are when you start, the better.
@hgyt4658
@hgyt4658 6 ай бұрын
Do you have to report your dividends to irs even if you reinvest?
@Jurassic_Fart
@Jurassic_Fart 4 ай бұрын
@@hgyt4658nah
@rickyismyuncle4485
@rickyismyuncle4485 2 ай бұрын
@@hgyt4658 I think you do.
@ismaelsalgado0326
@ismaelsalgado0326 28 күн бұрын
@@hgyt4658I believe you don’t have te report unless you close out your buys. Then you have to report your gains. But as long as your trade is open you don’t have to report. I could be mistaken. I’m also new and just started.
@csick11
@csick11 Күн бұрын
No. ​@@hgyt4658
@LiquidityOcelot
@LiquidityOcelot 7 ай бұрын
Great video! I invested 40-60% of my income, over the last years, in equity index funds, ETFs and individual stocks, which allowed me to retire in my 30s!
@sophiamunoz9923
@sophiamunoz9923 28 күн бұрын
how did you learn?
@vlsnathan
@vlsnathan Жыл бұрын
Thank You Brian for the information. But one critical point need to add is that majority of retirement accounts (like 401k, 403, 457) won’t allow customer to buy ETF and they have been forced to choose only index funds.
@clos3530
@clos3530 Жыл бұрын
You wouldn’t want to buy ETFs in a retirement account due to the nature of retirement account being tax deferred. You want mutual funds due to the active management
@randy74989
@randy74989 Жыл бұрын
@@clos3530 Index Funds are NOT actively managed. ETFs are more tax efficient; especially in taxable accounts.
@clos3530
@clos3530 Жыл бұрын
@@randy74989 again their can be index mutual funds and index etfs. Both are a basket of stocks however etfs the stocks are traded less within the fund causing less capital gains.
@Hawkinna
@Hawkinna Жыл бұрын
I’ve found that most let you choose annuities or mutual funds.
@Starscreamious
@Starscreamious Жыл бұрын
@@clos3530 You can buy ETF's and stocks in an IRA so that's not why. I think it's because of the kickback your employer gets due to the index funds higher expense ratio. Either that or people (all of our employers) are dumb af and are pissing away our retirement.
@clos3530
@clos3530 Жыл бұрын
I think you meant to say mutual funds not index fund. Index funds can be both mutual funds and etfs. Index fund just means it’s a fund that follows a particular index such as s&p or russel 2000 etc.
@andrewgeissinger5242
@andrewgeissinger5242 Жыл бұрын
He's confusing people with his odd use of terminology.
@edwinsutherland3964
@edwinsutherland3964 Жыл бұрын
I’ve been investing in ETF’s for a few years now. I have the majority in VTI which is a total index fund but I also have a small cap, mid cap, emerging market and real estate ETF for diversity. At the moment they are down a little after the events of the last couple of years but I’m confident they’ll come up again soon. Everything I’ve researched also says ETF is better than index funds
@NJ-500
@NJ-500 8 ай бұрын
How much do you have in ETFs
@ericwilde4583
@ericwilde4583 Жыл бұрын
The 85% of funds managers underperforming the index provided is for any single year. More impressively and importantly is to look at that figure over 5, 10, and 20 years, where it increases to 90, 97, and 99%. That makes for a more than compelling case for index investing, and how very rare the likes of Peter Lynch truly are.
@harleycartley3138
@harleycartley3138 Жыл бұрын
Didn't realize the vast majority were that poor!
@gagnecaron658
@gagnecaron658 Жыл бұрын
I've only sat down with 3 financial planners and 2 stockbrokers in my time to discuss investment planning and funnily enough, none tell you this fact.
@ericwilde4583
@ericwilde4583 Жыл бұрын
@@gagnecaron658 Most of the people railing against passive investing also just happen to be active managers themselves. It is wise to look for a fiduciary CFP when starting out. I went with James Fletcher Brennan and I have had awesome experiences with him. Going from $25k to $90k in 8 months. I can say that's over-performing the index and S&P 500
@stanleyfujiwara1394
@stanleyfujiwara1394 Жыл бұрын
That's because funds have to constantly move with the market. If you are a long term investor that just buys and holds you can easily beat the market. If you just invested in the FAANGM stocks over the past decade you would have killed any index fund.
@alex2143
@alex2143 Жыл бұрын
​@@stanleyfujiwara1394"you can easily beat the market" Who to trust, Warren Buffet and Charlie Munger saying it's incredibly hard to consistently beat the market, who advocate for index funds for the vast majority of investors despite being active investors themselves, or... who are you again?
@MichaelTrap-m1h
@MichaelTrap-m1h Жыл бұрын
Your explanation is realistic and straight to the point. l watch several video's on how to trade in the market but haven't made any headstart because they are either taIking some gibberish or sharing their story of how they made it. And l don't want to make mistakes by taking risks on my own
@ddillonhr
@ddillonhr Жыл бұрын
Thank you for the video I was unaware of the tax implications of a Index Fund vs ETF and learned something new today. If you had an Index fund in a roth, the tax implications would be irrelevant right?
@Image8O4
@Image8O4 Жыл бұрын
I put index funds and ETFs in Roth IRA and ETFs and Stocks in regular brokerage
@ContrarianExpatriate
@ContrarianExpatriate Жыл бұрын
I prefer ETFs because you can make limit orders and stop orders unlike with normal index funds.
@briandadude
@briandadude Жыл бұрын
Found the speculator
@jlee-dw3zu
@jlee-dw3zu 5 ай бұрын
My portfolio does not just cater for dividend stock, I hold $VFIAX in my Roth IRA and $VTI ( total stock market ETF) in my taxable brokerage account, two of my largest holdings. The individual dividend stock position all compliments the index holdings.
@EthanRaynolds
@EthanRaynolds 5 ай бұрын
Diversifying with $VFIAX and $VTI is smart investment. It is financial independence not dependence, it truely empowers.
@HarperScott-pk6uk
@HarperScott-pk6uk 5 ай бұрын
Diversifying portfolio can be challenging without the right guidance. If you lack market knowledge, your best bet is to seek the expertise of an investment coach. That is how I have managed to stay afloat in the market, increaseing my portfolio over 60% in the beginning of the year. It is the best way to start up investment in my opinion.
@LiamThompson-cv9xy
@LiamThompson-cv9xy 5 ай бұрын
​@@HarperScott-pk6uk I couldn't agree more.
@LiamThompson-cv9xy
@LiamThompson-cv9xy 5 ай бұрын
​@@HarperScott-pk6uk Please who is the Advisor guiding you? He sound impressive.
@HarperScott-pk6uk
@HarperScott-pk6uk 5 ай бұрын
Jason Herman Pierce is the licensed fiduciary iam working with. His cutting edge financial strategies is top notch.
@MarcPage
@MarcPage Жыл бұрын
I think you meant to compare mutual funds and ETFs. You can have an Index Mutual Fund and an Index ETF as well as actively managed versions of each. That was one of the best comparisons I've seen of Mutual Funds vs ETFs. I personally prefer ETFs as well. You also have other options that you do not have with Mutual Funds, like Stop Loss orders.
@chestersidd1626
@chestersidd1626 Жыл бұрын
I never knew that ETF is more tax efficient than Index Funds. I already have a bunch of Index Funds on my Roth IRA account. I was contemplating wether to invest in ETF or Index Funds on my taxable brokerage account. After watching this video and some of your videos on Index Funds and ETFs, I decided to go with a S&P 500 ETF on my Taxable brokerage account. That way I could sell cover call options in the future for more passive income.
@briandadude
@briandadude Жыл бұрын
ETFs are not necessarily more tax efficient at Vanguard. This is a common misconception
@clos3530
@clos3530 Жыл бұрын
You shouldn’t be concerned with being tax efficient in a retirement account since all gains are tax deferred anyways. Mutual funds and etfs are the same in the sense that they are a basket of stocks however etfs are more passively managed meaning less capital gains. Mutual funds that you are buying that are index oriented towards the S&P is more active where the money managers are trying to achieve the best return possible. Within your taxable account if you are just getting started it’s best to buy A share mutual funds which pays the fee upfront but then you never pay a fee again. If you have a large amount to invest up front then you can look at etfs
@ljrockstar69
@ljrockstar69 Жыл бұрын
It is good to have some in mutual funds.
@CarC369
@CarC369 Жыл бұрын
Thanks for breaking it down very simply. I knew Index funds and ETFs were extremely similar but didn't know the exact details. It seems like ETFs are the way to go.
@hakseakang2458
@hakseakang2458 Жыл бұрын
I think it needs to be clarified that the title of the video should probably be index funds vs index** ETFs. ETFs can be actively managed. Good video!
@FiatIsDead
@FiatIsDead Жыл бұрын
Hands down the clearest explanation I've found. Thanks for the video!
@erinmerlot8826
@erinmerlot8826 2 ай бұрын
Definitely agreed
@bdriscollmd
@bdriscollmd 5 ай бұрын
One other consideration is that (at least at Vanguard) you can set up automatic investments for index funds but not ETF's
@thewolvesdenarcade
@thewolvesdenarcade Жыл бұрын
I've been buying a few shares of SPHD for years now. It's a monthly dividend ETF. It's nice watching your money work for you lol.
@shukri-v1g
@shukri-v1g 2 ай бұрын
I feel investors should focus on under-the-radar stocks, considering the current rollercoaster nature of the stock market, Because 35% of my $270k portfolio comprises plummeting stocks that were once revered. I don't know where to go here out of devastation.
@Sylvester-r6i
@Sylvester-r6i 2 ай бұрын
Keeping money in the bank is like paying banks and the Govemment. Here's how it works: The bank gives out your money as loan, and charge interest obviously higher than inflation rate, and then give you, the depositor, interest lower than inflation rate. That means net loss for you. That is why I prefer to invest, and on average, my advisor makes returns that always beats inflation!
@Sylvester-r6i
@Sylvester-r6i 2 ай бұрын
Svetlana Sarkisian Chowdhury by name. Please do your own research to see if he is suitable with your goals
@Sandragreta
@Sandragreta 2 ай бұрын
I curiously copied and pasted her name on the web, her consulting page came up at once, she seems highly professional and well matched for the job.. thanks for putting this out !
@eclipseTV
@eclipseTV Ай бұрын
😂
@JustSendMeLocationPlease
@JustSendMeLocationPlease 27 күн бұрын
Ok bot
@ArchitectureLearnWithMe
@ArchitectureLearnWithMe Ай бұрын
Clearest explanation I’ve heard thus far
@jamahlgow763
@jamahlgow763 5 ай бұрын
I love this, you explain this very well! Your knowledge is always comprehensive and highly valuable to the everyday investor like myself. Thank you!
@Kevinw4040
@Kevinw4040 Жыл бұрын
I need peoples opinions/insight. Brian you were reading my mind on this video. I’ve been researching etf’s vs. index’s. I’m leaning towards ETF because I plan on putting more than 6500$ a year into this vs. most index’s I’ve seen are Ira/Roth Ira. I have no plans to touch this money for at least 15 years. Will I have to pay taxes on any of this yearly or just years down the road when I begin withdrawing? Thanks for any help.
@DungNguyen-vn3eu
@DungNguyen-vn3eu Жыл бұрын
Voo, Vit, DGRO, SCHD, Vym are all solid etfs.
@stephenhegarty6179
@stephenhegarty6179 Жыл бұрын
SCHD is a solid choice
@hersdera
@hersdera Жыл бұрын
I'm currently aiming to refrain from initiating new purchases to steer clear of potential pitfalls in a bear market scenario. Earning profits in stocks proves challenging when institutional investors are primarily responsible for the selling pressure. I did come across an article highlighting individuals who managed to achieve gains of up to $150,000 amidst this market downturn. However, I'm curious about your thoughts on the best stocks to consider purchasing at this juncture or placing on a watchlist?
@bernadofelix
@bernadofelix Жыл бұрын
I agree, reason I have all my invt-decisions ran through a coach on a daily-basis, it’s been 3years and counting and I’ve grown over $2million in gains, my coach's-analysis so far has steered me off losses and troubled waters and guided me make the most off major-breakthroughs in the mrkt, and esp. in this downtrend, her safe haven asset- trading, short-selling, ETF shorting skill-set are very essential..
@bernadofelix
@bernadofelix Жыл бұрын
​ Sure, the inv-coach that guides me is Margaret Johnson Arndt, she's popular and has quite the audience, so it shouldn't be a hassle finding her, just search her
@tiansrealm
@tiansrealm 7 ай бұрын
9😅
@alfresua2772
@alfresua2772 6 ай бұрын
😅
@SoledadHughes-q2i
@SoledadHughes-q2i 2 ай бұрын
Amazing content! I have been following your videos for sometime now, consistently kicking down Wall Street doors for two years now, I have over $320k in stocks. Currently, my portfolio is down by 15%. Wondering if they're any short term opportunities I can invest in
@StalinUndav
@StalinUndav 2 ай бұрын
I agree that there are strategies that could be put in place for solid gains regardless of economy or market condition, but such executions are usually carried out by investment experts or advisors with experience
@GrandtHudson1
@GrandtHudson1 2 ай бұрын
Reason I decided to work closely with an brokerage-adviser ever since the market got really tensed and the pressure became so much(I should be retiring in 17months) so I've had an brokerage-adviser guide me through the chaos, its been 9months and counting and I've made approx. 650K net from all of my holdings.
@GrandtHudson1
@GrandtHudson1 2 ай бұрын
ELISSE LAPARCHE EWING is my Advisor. She has since provided entry and exit points on the securities I concentrate on. If you want to check her out, you may do so online
@GrandtHudson1
@GrandtHudson1 2 ай бұрын
ELISSE LAPARCHE EWING is my portfolio-coach, I found her on Bloomberg where she was featured, I looked up her name on the internet. Fortunately I came across her site and reached out to her, you can verify her yourself
@GrandtHudson1
@GrandtHudson1 2 ай бұрын
My advisor is ELISSE LAPARCHE EWING. You can easily look her up, she has years of financial market experience in the financial field.
@TeamMadcrew
@TeamMadcrew Жыл бұрын
the majority of my day trades are ETFs. both leveraged (3x) and hedged (inverse). hedged pairs like TQQQ/SQQQ works great during current volatile markets. other pairs i use are YINN/YANG, BITI/BITO, UCO/SCO, SOXL/SOXS. you win when you lose.
@hukimseng
@hukimseng 6 ай бұрын
Great idea it seems
@higiniomorales459
@higiniomorales459 Жыл бұрын
Index fund are perfect for IRAs and 401k, ETFs are great for your regular taxable brokerage accounts.
@briandadude
@briandadude Жыл бұрын
ETFs are more work because you can't automate the buying and have to buy exact amount based on the ETF share price.
@higiniomorales459
@higiniomorales459 Жыл бұрын
@@briandadude - depends on the brokerage you use, I can buy fractional shares of any ETFs on robinhood. Also vanguard now allows you to also purchase fractional shares of ETFs as long as you'll buying "their" ETFs.
@briandadude
@briandadude Жыл бұрын
You’re right! I see Vanguard toting it now. Thanks for the heads up
@mrlion2022
@mrlion2022 Жыл бұрын
Love ETF and Index funds I learned about index funds and ETF from a wise man back in the 1990s it's something not taught in public school. I wish it was. You literally can become a millionaire in ETF and index funds. Can you make a video of how it's done
@Kevinw4040
@Kevinw4040 Жыл бұрын
I’d be a millionaire now if I’d known about them in my 20s. 52 now and that’s depressing.
@mrlion2022
@mrlion2022 Жыл бұрын
@@BecamePneuma the 🐢 🐢 always win
@Rust_Rust_Rust
@Rust_Rust_Rust Жыл бұрын
​@@Kevinw4040 I'm in my early 20s right now
@RobertaPaes-mh1sq
@RobertaPaes-mh1sq Жыл бұрын
Can you put me through how I can do this 😢
@mrlion2022
@mrlion2022 Жыл бұрын
@Roberta Paes I hope Brian puts a video about slow long-term mutual funds ETF index funds long-term millionaires.
@nesnaj1730
@nesnaj1730 Жыл бұрын
Awesome video! Best explanation of index funds and etfs I have heard so far on the internet! any thoughts on passive versus active etf?
@clearvaluetax9382
@clearvaluetax9382 Жыл бұрын
I think passive ETFs are generally better.
@spambaffle
@spambaffle Жыл бұрын
I really enjoy your videos, but in this case I have a quibble regarding terminology. I feel that in every instance of you saying the words "index fund" it would have been more proper for you to have used the term "mutual fund". After all, an ETF (Exchange Traded FUND) can also be based on stock indexes (SPY for the S&P 500, and QQQ for the Nasdaq 100 index, as two examples). The characteristics you ascribe to "Index Funds" in this video are true for mutual funds, but not for all Index funds (since some of them are ETFs).
@judybee6698
@judybee6698 Жыл бұрын
Thank you! He had me confused at first, since I have etfs that are index based, and I consider them " index funds". I've always thought of the others as " mutual funds"
@foreveranuj
@foreveranuj 5 ай бұрын
My favorites are BKLC (ETF from BNY Mellon) and FNILX (Mutual Fund from Fidelity) - both are 0.0% Net Expense ratios, and solid in returns. These are the only two you need, really. Close competitors: SCHG, ITOT, VTI, FXAIX etc.
@DunderHead.5000
@DunderHead.5000 Жыл бұрын
If the news was as straight up as Brian, I'd watch the news.
@themicmac88
@themicmac88 2 ай бұрын
You’re the best! I watch your videos everyday. Trying to learn stocks now. I bad very bad choices in life and don’t have any retirement saved at 54 years old. I know I’m screwed. Hoping stocks can give me enough return for my retirement in 15 years
@jonv.6792
@jonv.6792 Жыл бұрын
If you want to be simple and long term investor that doesn't want to keep looking to the price movement. Just Invest and forget. Index fund is for you. No emotions involve and save you time and effort. But if you want to be savvy and want to time the market and willing to pay for spreads then ETF is for you.
@Dr.irenebuenavistamolina
@Dr.irenebuenavistamolina Жыл бұрын
Thanks Brian, very helpful. Will you be able to make a video about ELNs, JEPI, JEPQ? Thank you again!
@Ru4444
@Ru4444 Жыл бұрын
Hi Brian, im a big fan. Can u make a video on how we can prepare ourselves for either Hyperinflation or Depression or both, please. Thank u.
@Kep19901
@Kep19901 Жыл бұрын
There are some ETFs that are actively managed for a slightly higher expense ratio.
@MB1z
@MB1z Жыл бұрын
Thank you for explaining this. It is so valuable to have people who can communicate these financial things that should have been taught in schools. Thank you.
@Utx55
@Utx55 Жыл бұрын
Thank you so much Brian. I just learned so much! You make it very easy to understand.
@linoleumshake
@linoleumshake Жыл бұрын
ETFs doing better than my own stock picks so yeah etf is great for passive investing
@fiscolorado656
@fiscolorado656 Жыл бұрын
This is so clear and concise. I understand now!
@TheModeler99
@TheModeler99 6 ай бұрын
best video I've seen on the topic. Everyone else just gives surface level information
@FranciszekPawal
@FranciszekPawal 2 ай бұрын
Seeking advice at 32 with $50,000 savings-considering Microsoft/Apple or ETFs SPY/VOO.
@Just_Kianna
@Just_Kianna Жыл бұрын
Hey b long time. You’re still out here killing it. Have a great week!!!
@clearvaluetax9382
@clearvaluetax9382 Жыл бұрын
Long time no see Just K! It's always great to see you and I hope you have a great week as well! =)
@knowledgeseeker5499
@knowledgeseeker5499 Жыл бұрын
Honestly it doesn’t make difference because money will be invested in same companies 😊 I invest in Index funds because I find them less volatile and cover broader market. I am longtime investor so Index funds are better choice although I have ETFs for dividends like VHYL (VYM in US)
@snagboi
@snagboi Жыл бұрын
Volatility has nothing to do with whether you choose between ETF or index funds. ETF-versions are superior to the mutual fund equivalent by every measure.
@Acesupersoaker
@Acesupersoaker Жыл бұрын
I love you’re videos I was wonder if you can do a video on Three top index funds that pay dividends include: (VYM) Vanguard High Dividend Yield ETF. (VYMI) Vanguard International High Dividend Yield ETF. (BND) Vanguard Total Bond Market Index Fund. I did some research about the index funds thanks to you’re videos just wanted a second opinion. Thank you.
@jonrios1389
@jonrios1389 Жыл бұрын
VOO is my favorite.
@Jbertrand1977
@Jbertrand1977 Жыл бұрын
VOO and QQQ for me 😊
@johnl9135
@johnl9135 Жыл бұрын
Thank you, I'd learned a lot about stocks especially ETF and Index Fund since I'd started last year. I wish I knew this when I was in my teen.
@MarkDanger777
@MarkDanger777 Жыл бұрын
You and me both brother
@RobertaPaes-mh1sq
@RobertaPaes-mh1sq Жыл бұрын
I wish too
@FrankBurgos
@FrankBurgos Жыл бұрын
I personally prefer Idex funds because it makes it much easier for me personally for passive investing. I set it and forget it. With ETF's I have to "pull the trigger myself" and it gets in my own head.
@Kevinw4040
@Kevinw4040 Жыл бұрын
You can set up auto contributions on most platforms.
@FrankBurgos
@FrankBurgos Жыл бұрын
@@Kevinw4040 I've been using vanguard. As far as I know auto invest is only available for index funds.
@briandadude
@briandadude Жыл бұрын
@@Kevinw4040 Most? Not Fidelity or Vanguard
@briandadude
@briandadude Жыл бұрын
@@FrankBurgos and you don't have to worry about bid-ask spreads with index funds either. Quite a few points not brought up in this video.
@uncookedlyric
@uncookedlyric Жыл бұрын
I agree
@MichaelGabreil
@MichaelGabreil 19 күн бұрын
How do you feel about Covered call ETFs? I don't have the experience to sell SCHD myself. But I hope the ETF management does. I just really want to know more about these things before investing, only if someone can put me through.
@kyawzeya3259
@kyawzeya3259 9 ай бұрын
how about dividends and tax? and auto re-investing features?
@BOXEO1
@BOXEO1 Жыл бұрын
Is it worth investing now like VOO? Or wait it out awhile???
@redsun5826
@redsun5826 7 ай бұрын
Thank you so much for explaining. I have both VTSAX and VTI, which are identical to each other. Seems pointless to have both and I couldn’t make up my mind whether I should keep both or get rid of one or the other. Based on the differences you shared, I think I’ll keep the ETF and get rid of the index fund just to simplify it. I don’t have much in the index fund, just the minimum amount required to have it, so I’m not too worried about tax implications.
@ThuyVu-bw8cz
@ThuyVu-bw8cz Жыл бұрын
Thank you Brian! This is exactly what I need ❤️🥰
@jooc415
@jooc415 Жыл бұрын
I really enjoy watching your videos. They’re so thorough and informative. Thank you so much!
@dancry-t4n
@dancry-t4n 2 ай бұрын
i invested in ark etf for 4 years im currently down 20% of my initial investment
@successemhabino9746
@successemhabino9746 3 ай бұрын
Thank you for the information, but I need more guides of financial advice
@HelloAugustaGa
@HelloAugustaGa 9 ай бұрын
Thank you for sharing about index fund and ETFS very clearly appreciate your video ❤ thanks.
@AndersonChao-vs3zf
@AndersonChao-vs3zf 2 ай бұрын
I invest stocks and Index the most some ETF because ETF and stocks most likely same thing the only thing different is ETF might be little cheaper
@bkmcdonald32
@bkmcdonald32 7 ай бұрын
Hey fella i love these videos and this channel. I am unsure how to evaluate liquidity and volume in ETFs. Most of the ones i find seem fairly low
@ElonMuckX
@ElonMuckX Жыл бұрын
7:26 Be careful with some ETF's, they are HEAVILY shorted by Hedge Funds, like the stocks of AMC/APE/GME/LCID/SNAP/BUD/MARA/IDEX/RDHL/AI/RUM shorted (shorts borrowed on other shorts). This means that they can go up, but when they go down, their price falls faster then other shorted ETF's. Most of the shorted ones are small, low volume ETF's, but some bigger ones have significant shorts on them. TQQQ, SOXS, QQQ, IWM, KRE, VXX, SMH, XME, XRT, are well shorted this day in June 2023. SPY, XLF, SHY, XLE, XLP, XLU, EWJ, XLB, IEF, IJR, IVV, MCHI, are currently have few shorts, but that can change. I'm not saying you can't make money strategically buying them long (I have made money on some of them in swing trades). I've noticed that mostly low volume, low priced ETF's (and penny stocks) are heavily shorted. And this is why so few go up in long trends. My advice, find indicators that show you how much a stock is shorted. My indicator changes daily, sometimes significantly if a stock is reversed split (I've seen get pounded by shorts those days). Personally I swing trade higher priced stocks off of the IBD 50 and expensive tech stocks like PANW/AVGO/MPWR/NVDA/PAYC, and FAANG stocks. They are rarely shorted heavily.
@Aztecadr
@Aztecadr 2 ай бұрын
He say the expense ratio is low on both but today I saw NASDAQ ETF in Fidelily at 0.20 vs 0.05 Index Fund
@ljrockstar69
@ljrockstar69 Жыл бұрын
I got rid of all my mutual funds and going for ETFs now on M1.
@ReadTheShrill
@ReadTheShrill Жыл бұрын
There are actively managed ETFs. In fact on Etrade, about a third of all ETFs are actively managed.
@citizenpunx
@citizenpunx 11 ай бұрын
Great video, it seems to me that an ETF > Index funds in almost all scenarios 🤷🏻‍♂️
@inlandinvestmentsllc9533
@inlandinvestmentsllc9533 Жыл бұрын
Title is incorrect. Should say Mutual fund vs. ETF. Index fund is a general term.
@gieb6428
@gieb6428 22 күн бұрын
Why does this happen?
@snagboi
@snagboi Жыл бұрын
You're literally the only person who has the ballz to admit the truth. "ETFs are just plain BETTER than mutual funds, period, regardless of type of account." Thanks.
@DashiB
@DashiB 10 ай бұрын
Thank you! I am still thinking that to choose but you opinion confirm me that ETFs for me is better right now. Thank you for your useful content I followed 🥰
@REAPRinc
@REAPRinc Жыл бұрын
Hey B, Great video! I’ve noticed you did a video on the fundamentals of stocks, index and etfs. Can you make a similar video on the basics of cryptocurrencies.
@briandadude
@briandadude Жыл бұрын
Here's all you need to know: don't
@Faraz70
@Faraz70 Жыл бұрын
Vanguard says that their Index Funds have a propriety mechanism that shields them from tax implications not found in ETFs?
@jaimekatz6645
@jaimekatz6645 10 ай бұрын
I can't think of any negatives to ETFs. Are there any?
@walanderson225
@walanderson225 Жыл бұрын
I love when you do these type of videos Brian. I do have a question for you though. A few days ago I listened to the video that you did regarding our countries short term solution regarding the debt ceiling. Being that we are kicking the can down the road for the next two years it sounds like this move can have a significant affect on our already fragile economy. With this in mind, do you feel that the stock market will also be affected significantly by any economic volatility in the future?
@briandadude
@briandadude Жыл бұрын
Always be buying. Ignore the noise. Focus on your savings rate.
@futtbucker1011
@futtbucker1011 Жыл бұрын
Index funds = track market indexes and give broad exposure (SPY, DIA, QQQ, IWM) ETFs = more industry specific (oil & gas - XOP/XLE, finance industry - XLF, real estate - IYR) but still give you broad exposure to companies within that industry
@RobertaPaes-mh1sq
@RobertaPaes-mh1sq Жыл бұрын
Hello Michael. Do you mind explaining more details to me about ETF and index I did be happy if I could
@AnnieNugget
@AnnieNugget Жыл бұрын
Thanks!
@jordanmadden7388
@jordanmadden7388 10 ай бұрын
This was an awesome video. Thank you very much!
@PeaceBeginsOnYourPlate
@PeaceBeginsOnYourPlate Жыл бұрын
If I’m a long term investor and don’t care about day trading or minimum requirements, does an ETF still have advantages over index funds?
@briandadude
@briandadude Жыл бұрын
As always, depends. Compare tax efficiency (may be non-factor with Vanguard admiral index funds) and expense ratios.
@alivaezi2976
@alivaezi2976 9 ай бұрын
Great job! keep going my knowledgeable friend
@phorn_khann
@phorn_khann 8 ай бұрын
I just started investing in Index Fund on February 2024
@justindyczewski6640
@justindyczewski6640 Жыл бұрын
Brian, can you make a video on ETF and if they are all 100% backed.
@clearvaluetax9382
@clearvaluetax9382 Жыл бұрын
I will cover that issue Justin, thank you for stopping by today!
@davidgavney6711
@davidgavney6711 Жыл бұрын
I think people in the comments were confusing the indexing part versus the actively managed part of being either a mutual fund or an ETF. Here, he's comparing the non-managed indexed versions. Also, I've never seen an ETF in an employer's retirement plan, and they always discouraged "day trading" (places I worked) when people would try to play the market by switching funds frequently within their 401k's (even though it would take a couple days). Only until I was able to transfer that money out of there into a brokerage IRA account was I able to trade ETF's.
@alexnachozz3284
@alexnachozz3284 11 ай бұрын
I use index funds with my ROTH IRA because it grows tax deferred so I don’t have to worry about the higher taxes.
@chriswright9860
@chriswright9860 14 күн бұрын
Mutual funds/index funds will allow automatic withdrawals and investment. ETF's will not.
@SmellLies
@SmellLies Жыл бұрын
Thank you for your amazing videos! You know how to convey investing better than any other investor I’ve heard on KZbin.
@GrimRaven
@GrimRaven Жыл бұрын
Little Book of Common Sense Investing was the second investment book I read, right after The Intelligent Investor.
@TranAndy-y2v
@TranAndy-y2v 2 ай бұрын
Do we pay capital gain in ETF?
@joeschmoe8965
@joeschmoe8965 Ай бұрын
Only when sold
@searchersearcher8286
@searchersearcher8286 10 ай бұрын
Index or ETF which is most tax efficient for retirement?
@timothyjessie3618
@timothyjessie3618 10 ай бұрын
Great simple and no nonsense video. Please keep up the good work.
@Steven-uv8lc
@Steven-uv8lc 11 ай бұрын
Someone please help me with this question 🥲 if I were to invest the same amount in an ETF and its Mutual fund, wouldn’t the mutual fund grow bigger during the long term? Given that it earns compound interest as well as dividends. As opposed to an ETF which only earns dividends.
@DrivingSchoolApsChannel
@DrivingSchoolApsChannel Жыл бұрын
My provide does not offer an index fund only ETF I'm looking to invest in an index fund that targets S&P500 It's a good move to go for ETFs?
@vinniephillips452
@vinniephillips452 Жыл бұрын
Index funds & ETFs are a better alternative than investing in your company’s crappy 401K. They only offer 3 investment options; low risk, medium and high risk. The investment firm could careless how much you lose. They just want their fees.
@ashog1426
@ashog1426 Жыл бұрын
Index funds sound more my speed ill look into them thanks.
@sharonsladen3948
@sharonsladen3948 Жыл бұрын
Thank you very much for all your opinions n education Single mom 🇺🇸
@sting64az
@sting64az Жыл бұрын
Hello this question is off the topic. Maybe you can shed some light on this. There are so many KZbinr channels of them saying more money to be expected in Social Security and stimulus checks 4th ones ranging from $1,200-$4,000? what is the truth here.
@leodass
@leodass 17 күн бұрын
I don't know
@CamilaSaurus
@CamilaSaurus 10 ай бұрын
Can you now auto invest in ETFs? It looks like it’s possible on Fidelity
@rookie4582
@rookie4582 Жыл бұрын
Beginner here, but it sounds like to me that there really is no cons to ETFs. The Index Funds option really turned me off after knowing that you are taxed for simply just participating in that investment. ETFs sounds like a no brainer. I’m assuming it’s just Index Funds may have better companies packed together to invest in?
@thetapheonix
@thetapheonix Жыл бұрын
No ETFs have the same things in it that index funds do. ETFs are an evolved version of an index funds, they came out 20 years after index funds.
@Kevinw4040
@Kevinw4040 Жыл бұрын
Index and etf typically invest in same market. ie an S&P 500 the both invest in all 500 of the same companies
@briandadude
@briandadude Жыл бұрын
ETFs have bid-ask spreads and purchases cannot be easily automated. Those are cons but not mentioned. Always do your own research
@NightNurseMike
@NightNurseMike Жыл бұрын
This video will age better than your news ones. Pay more
@RobertaPaes-mh1sq
@RobertaPaes-mh1sq Жыл бұрын
You don’t need it
@comkver
@comkver Жыл бұрын
Can you please make a video about the financial options that the wealthy use for their own money. For example, I don't believe that the wealthy would use a CD for any money past $100,000. Since they don't use CDs what do they use index funds for this amount of money? What's the next level after a money market account? There's bound to be financial instruments that we've never heard of.
@NealIRC
@NealIRC Жыл бұрын
Capital 1 CD that paid 5% interest, there are dividends that can pay past 12%. 12% is golden, that's for every $1000 you put in, you get $10/month.
@arubaga
@arubaga Жыл бұрын
VTI, VEA, BND, and 6 month US Treasury Bills ...
@thetapheonix
@thetapheonix Жыл бұрын
They stash it everywhere, treasury securities, gold, ETFs, real estate, art. There is no secret.
@KristiansRieksts
@KristiansRieksts Жыл бұрын
hey Brian! i really appreciate your yt videos they are super valuable, when is your next upload?
@fastbladeproductions7961
@fastbladeproductions7961 Жыл бұрын
I was making bank with my traditional ira swing trading Vanguard ETF VOO S&P 500 .... this going sideways business is not good for anyone... ETF's all the way... :)
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