Discussion 7

A pooled investment fund is an investment vehicle that pools together money from many investors and invests that money in a variety of stocks, bonds, or indexes of stocks and/or bonds. The two types of pooled investment funds you will most likely encounter are mutual funds and exchange-traded funds, or ETFs. Paradoxically, some would say, companies that sell mutual funds have enjoyed much more sales success then companies that sell ETFs. Here is a link to an article that compares these two types of investments:http://www.nationalpost.com/ETFs+mutual+funds/4339333/story.html#__federated=1

Directions

In your groups, answer the following questions after reading chapter 13 of your text, the article above, and other material that you determine to be relevant.

1. What are the advantages and disadvantages of mutual funds?
2. What are the similarities and differences between mutual funds and exchange-traded-funds (ETFs)?
3. List the companies that offer ETFs in Canada.Provide a link to the main page of reach company that you identify. What is the difference in the value proposition of each company with respect to their ETF offering?

Provide links to any other articles that you referenced for this discussion.