Building A Portfolio With Exchange-Traded Funds

ETF Portfolio Analysis

Diversification is the key to good investments. In this space, exchange-traded funds (ETFs) are investment funds that hold a diversified portfolio of assets, such as stocks, bonds or commodities. By investing in an ETF, you instantly gain exposure to a broad range of securities, which can significantly reduce risk. The article elaborates on this topic with a case-study.

Let us consider the story of a naive investor, Ravi Gupta, who was just beginning his journey into the world of investments. Ravi was filled with excitement and ambition as he watched the stock market flourish, and he couldn’t resist the allure of making his fortune through investing. Ravi was excited to get started, especially considering how the market had been performing well lately. He envisioned building his wealth through investments. As Ravi took his first steps in the world of investing, he purchased stocks of a few Indian companies.