Having fun in the stock market is the opportunity to make money quickly or lose it. It is a game in which not everyone is always a winner. Exchange-traded funds (ETFs) or follow-on investments are financial products that work on the same principle as stock market shares. In the event that the market mechanism is not perfectly mastered, it is best to consult a professional who can advise on investing in ETFs. It is even possible to delegate the management of a portfolio of followers.
What is an ETF?
An ETF is a listed fund whose value depends primarily on a particular index. However, there are certain elements that have the ability to influence market prices. At that time, their speculative value is different from their actual value.
ETFs have the advantage of operating as individual securities. A single order allows them to be purchased or sold without delay. There is no need to wait until the end of the day as with other financial products. It is therefore possible to quickly increase your profits or limit your losses if their value falls.
The purchase of an ETF investment is not subject to subscription fees. In addition, there are only brokerage fees associated with these funds. In addition to buying and selling profits, they also pay dividends as they are linked to the values of the indices on which they depend, i.e. their shares.
There are types of ETFs that are dedicated to a specific criterion, such as a business sector or a geographical area. They are therefore democratising access to high-level investments that were previously the prerogative of large investors. They also facilitate the acquisition of holdings in very specific sectors.
However, ETFs are mandatory index-based funds and not stock-based. As a result, buying a limited number of followers allows for a more than diversified stock portfolio. And this is at a lower cost, as brokerage fees average 0.4% per year.
Speculating with ETFs does not require a large initial investment. A small amount of money allows you to benefit from the performance of several stocks grouped into a limited number of trackers.
Vision for ETF investment
At our Perennity wealth management firm, improving your available savings is one of our priorities. We do everything we can to secure and grow your assets. Our experience covers both advice on unlisted investments and the management and restructuring of your real estate assets.
As far as ETF investment advice is concerned, we ensure that you get the maximum return from your investments. Thanks to our many partners and our know-how, we are able to offer a wide range of investment support. The trackers we suggest are the safest.
By choosing to let us manage your ETF portfolio, you are guaranteed to react quickly to market fluctuations. This means that you are assured of a gain in the event of a rise in the index and limited losses in the event of a fall. In addition, continuous listing encourages frequent trading. The latter in the long term can generate costs that exceed the profits received. Therefore, vigilance is essential in the management of ETFs. We have a duty to pay particular attention to the protection of your interests.
In addition, in relation to your asset profile, which our advisors will have previously drawn up, we will establish for you a personalised development strategy for your assets. This includes advice on how to intelligently invest the money from an inheritance to help you choose life insurance. And above all, we help you choose and manage your investments to optimise your tax system.
Always according to your availability and your objectives, we offer you a wide range of financial or real estate products. Our wealth management firm Family Office is there to support you at every stage of your investments. Lawyers, accountants and other specialists offer you their experience even in investments that our firm does not manage.
