Benefits of Investing in Index ETFs

Investing Winner has a good article about the advantages of investing in index ETFs.

The benefits of index ETFs include:

  • Diversification of stocks
  • Diversification of industries
  • Reduced risk
  • Dividend income
  • Top companies in the market
  • Tax efficient
  • Low expense ratios

You can also find a list of all the U.S. index ETFs in the article.

Read more at InvestingWinner.com: Benefits of Investing in Index ETFs

Reminder: U.S. exchanges are closed on April 22 for Good Friday

Sorry We're Closed
Sorry We're Closed

Important reminder that on Friday, April 22, 2011 the U.S. trading markets will be closed for holiday to celebrate Good Friday.

For a complete list of U.S. market holidays in 2011 see this post: List of U.S. Trading Holidays for 2011.

Reminder: U.S. Trading Markets Closed February 21, 2011 for President’s Day

Important reminder that on Monday, February 21, 2011 the U.S. stock market equities and options markets will be closed for holiday to celebrate President’s Day (sometimes known as George Washington’s birthday).

For a complete list of U.S. market holidays during 2011 see this post: List of U.S. Trading Holidays for 2011.

List of U.S. Trading Holidays in 2011

A list of dates the U.S. stock and options markets are closed.

U.S. Equity and Options Markets Holiday Schedule

Date Holiday U.S Equity Markets U.S Options Markets
January 17 Martin Luther King, Jr. Day Closed Closed
February 21 Presidents’ Day Closed Closed
April 22 Good Friday Closed Closed
May 30 Memorial Day Closed Closed
July 4 Independence Day Closed Closed
September 5 Labor Day Closed Closed
November 24 Thanksgiving Day Closed Closed
November 25 Early Market Close* TBA Equity Options (Narrow Based) Closes at 1:00 p.m.
World Currency Options Closes at 1:00 p.m.
Broad Based Index Options Closes at 1:15 p.m.
December 26 Christmas Day (observed) Closed Closed

My Watch List: VTI – Vanguard Total Stock Market ETF

Total Stock Market

The Vanguard Total Stock Market ETF (Ticker: VTI) has been added to my Watch List.

VTI tracks about 95% of the top U.S. common stocks, totalling over 1,200 different US stocks. The stocks VTI tracks cover all U.S. markets: NYSE, AMEX, Nasdaq and OTCBB stocks.

Advantages of VTI

VTI is very diversified and when you buy the VTI ETF, you’re buying a small piece of over 1,200 different stocks in the US stock markets. VTI offers a long term, low volatility play for investing. When the markets go up, VTI will go up.

Disadvantages of VTI

Being very diversified, you may miss out on gains from investing in invidual stocks. VTI holding are very spread out, which means your total return on VTI will be about the market average. You shouldn’t expect to sigificantly “beat the market” with VTI. When the markets go down, VTI will also go down.

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