Newcomers make their mark

Exchange traded funds (ETFs) are relatively new in the European market, having only been introduced ...

Exchange traded funds (ETFs) are relatively new in the European market, having only been introduced in 2000. However their popularity is growing fast, as evidenced by the fact that they are growing faster than the US ETF market grew in its early days. The first ETF was launched in the US in 1993. ETFs are index tracking funds that trade on an exchange, and replicate the performance of an index by holding a basket of shares in the companies that make up the index. They are arguably the cheapest way to access the equity market, and allow investors to have diversification without security spe...