Table of Contents
How is SPLG different from SPY?
SPLG has a 0.03\% expense ratio vs SPY’s 0.0945\%. However, while SPLG has the same underlying index as SPY, SPLG is not required to hold all the securities and may use a sampling methodology to mirror the same risk and return characteristics.
Is SPLG a good fund?
SPLG is rated a 5 out of 5.
Is SPLG an ETF or mutual fund?
SPLG: SPDR® Portfolio S&P 500® ETF. Compare SPLG to similar US equity funds.
Which one is better SPY or VOO?
As both funds track the same index, both have effectively identical strategies, holdings, and performance. On the other hand, VOO is slightly cheaper, with an expense ratio of 0.03\%, versus 0.09\% for SPY. In my opinion, VOO’s lower expense ratio and superior corporate structure make it the stronger fund.
What are the advantages and disadvantages of ETFs?
Identifying the advantages and disadvantages of ETFs can help investors navigate the risks and rewards, and decide whether these securities, now a quarter-century old, make sense for their portfolios. ETFs are considered to be low-risk investments because they are low-cost and hold a basket of stocks or other securities, increasing diversification.
Should you invest in ETFs?
While ETFs offer a number of benefits, the low-cost and myriad investment options available through ETFs can lead investors to make unwise decisions. In addition, not all ETFs are alike. Management fees, execution prices, and tracking discrepancies can cause unpleasant surprises for investors.
Are ETFs more tax-efficient than mutual funds?
ETFs can be more tax-efficient than mutual funds. As passively managed portfolios, ETFs (and index funds) tend to realize fewer capital gains than actively managed mutual funds. Also, when an ETF buys or sells shares, it’s considered an in-kind redemption and does not result in a tax charge.
Why don’t ETFs like large-cap stocks exist anymore?
For some sectors or foreign stocks, investors might be limited to large-cap stocks due to a narrow group of equities in the market index. A lack of exposure to mid- and small-cap companies could leave potential growth opportunities out of the reach of ETF investors.