Which of the following are similar to exchange traded funds (ETFs)?
A) bond funds
B) equities funds
C) mutual funds
D) RRSPs

Question

Quizplus · Accepted Answer

Mutual funds are similar to ETFs as they both pool money from investors and invest in a diversified portfolio of securities. However, ETFs are traded on exchanges like individual stocks whereas mutual funds are bought and sold at the end of the trading day at the net asset value (NAV) price.

Bond funds and equity funds are types of mutual funds that focus on investing in bonds and stocks respectively. RRSPs (Registered Retirement Savings Plans) are tax-advantaged investment accounts in Canada and are not similar to ETFs.

Which of the Following Are Similar to Exchange Traded Funds