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ETFs, or Exchange Traded Funds, are a type of investment fund that trades on a stock exchange. ETFs are similar to mutual funds, but they are traded like stocks. ETFs are designed to track a specific index, such as the S&P 500, and their value changes throughout the day as the underlying securities in the index change.Index Funds, on the other hand, are mutual funds that are designed to track the performance of a specific index. Unlike ETFs, Index Funds are not traded on an exchange, but instead, they are bought and sold through a mutual fund company.
