http://www.canadiancapitalist.com/dividend-etfs/ Helping you invest and prosper Sat, 11 Feb 2012 12:40:17 +0000 hourly 1 http://wordpress.org/?v=3.3.1 http://www.canadiancapitalist.com/dividend-etfs/#comment-5704 Rich Slick Wed, 02 Aug 2006 22:19:50 +0000 http://www.canadiancapitalist.com/2006/05/17/dividend-etfs#comment-5704 On a side note, does anyone here know where I can get a list of all ETFs that trade options? On a side note, does anyone here know where I can get a list of all ETFs that trade options?

]]> http://www.canadiancapitalist.com/dividend-etfs/#comment-2793 Canadian Capitalist Tue, 23 May 2006 03:09:01 +0000 http://www.canadiancapitalist.com/2006/05/17/dividend-etfs#comment-2793 Phil: Actually, the points you raise are true about closed-end funds but (most) ETFs are a different beast. They are designed to closely track an index (at least the most popular ones) whose components are well-known by allowing redemptions and contributions of a large block of shares. In practice, the largest and most liquid ETFs do closely track their underlying indices. Phil: Actually, the points you raise are true about closed-end funds but (most) ETFs are a different beast. They are designed to closely track an index (at least the most popular ones) whose components are well-known by allowing redemptions and contributions of a large block of shares. In practice, the largest and most liquid ETFs do closely track their underlying indices.

]]> http://www.canadiancapitalist.com/dividend-etfs/#comment-2618 Phil S Sat, 20 May 2006 22:42:03 +0000 http://www.canadiancapitalist.com/2006/05/17/dividend-etfs#comment-2618 A lot of people focus on the low MERs associated with ETFs, but there is one thing that you must consider. An open-ended mutual fund's unit price is adjusted according to the daily closing price of all of the equities held within that fund. An ETF trades like its own equity, so the unit prices trade based upon supply and demand of its units. So, please keep in mind that in an ETF, you could actually be paying a higher price than the value of your share of the assets held within that fund. Normally the ETF reports once every business quarter, so you don't usually know the true value of all of its assets under management until its quarterly report is freshly issued. In a perfectly efficient market, the price should trade close to the value of its assets, but in reality there can be a difference to either the high or the low side. A lot of people focus on the low MERs associated with ETFs, but there is one thing that you must consider. An open-ended mutual fund’s unit price is adjusted according to the daily closing price of all of the equities held within that fund. An ETF trades like its own equity, so the unit prices trade based upon supply and demand of its units. So, please keep in mind that in an ETF, you could actually be paying a higher price than the value of your share of the assets held within that fund. Normally the ETF reports once every business quarter, so you don’t usually know the true value of all of its assets under management until its quarterly report is freshly issued. In a perfectly efficient market, the price should trade close to the value of its assets, but in reality there can be a difference to either the high or the low side.

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