什么是 Exchange-Traded Fund (ETF)

一直以来都对ETF感到陌生， 今天终于有机会对它有初步的了解：

转载自：http://www.theedgedaily.com/cms/content.jsp?id=com.tms.cms.article.Article_1e2465ca-cb73c03a-135ae7e0-61907a12

11-06-07: Understanding ETF

Q: What is an exchange-traded fund (ETF)?

An ETF is essentially a unit trust fund, except that it is traded on a stock exchange. It represents a basket of securities and is designed to track the performance of an index. The performance of an ETF usually mirrors that of the index it tracks.

Take the FBM30etf as example. Since it tracks the FBM30, it will buy the index's constituent stocks. The number of shares bought for each stock will be based on its weightage on the index.

Q: What benefits does an ETF bring to investors?
Unlike unit trust funds, investors can buy and sell units of an ETF at anytime during trading hours like trading a stock. An ETF is traded in blocks of 100 units.

Instead of buying shares of each and every stock, ETF allows investors to gain exposure to a basket of securities with just a single purchase of ETF units. ETF offers portfolio diversification like unit trust funds.

ETF incurs low management fee as a result of passive management. Transaction cost is low (0.6% via brokerage) compared with unit trust fund (3% to 5% sales charge).

Q: How do I buy or sell ETF?

Like ordinary stocks, you can buy or sell ETF through your broker.

Q: How is the market price of an ETF determined?

As an ETF is traded like a stock, the price of each unit is determined by the supply and demand of the market, and in general, will be traded closely to the market value of the underlying basket of securities.

Q: How do I value an ETF?

An ETF is valued according to its net asset value (NAV). NAV is the fund's assets minus its liabilities divided by the number of outstanding shares. At the end of each trading day, the NAV will be calculated. The increase in NAV means the increase in the value of one's holdings.

Investors should also look at whether an ETF is traded at a premium or discount to the index it tracks.

Q: Does an ETF pay dividends?

Most ETFs do pay dividends. However, investors should study the prospectus of the particular ETF on its dividend policy.

p/s: 终于又可登录 theedgedaily 了

二十四岁,终于有了自己的部落格

以前看人家写部落格, 觉得挺无聊及浪费时间。可是今天我决定要拥有自己的部落格。

一来，希望可以在将来检讨这一路走来，是过得充实，抑或是虚度光阴。
二来，希望可以练练文笔，及越来越生疏的汉字写法。
三呢，希望自己的部落格可以受青睐，间接开拓多一条财路（google adsense）.

那为何取名为投资,创业,工作路呢？

算是本身理想的生活方式吧。

投资路，是希望可以练就一套适合自己的投资方式，在我正在努力工作赚钱的同时，我的钱也能自己生钱。

创业路，是希望拥有本身的事业，而不是一直帮人打工，天天朝九晚五的生活。

至于工作路嘛，没办法，大学刚毕业两年，网络工程师(website programmer)一名. IT这行,常常要进修,不然快被沟汰.而且本身思考中的创业路也和IT有关,所以也算是在为创业路铺路。

那这条投资,创业,工作路应该怎么走呢。我现在的计划是一天走一段，今天走投资路，明天创业路，后天工作路，希望这多管齐下路，到最后不会两头不到岸，迷了路。

除此之外，发现要好好走这投资,创业,工作路，有一样东西定不可免，那便是英文。自小英文普普通通，若想在这条投资,创业,工作路上成功，听，讲，写好英文势不可免。所以自己也必须在这方面多下苦功。

最后，希望写这部落格并不是三分钟热度，写了几篇便不了了之。

p/s：看别人写部落格还真容易，自己写还真花时间。