Hi Deborah! Valuation of ETFs are based on the ETF's NAV (net asset value). The ETF's NAV is the price at which shares are bought or sold from the fund company. Although it is important to note that a ETF's NAV can differ from its market price. Secondly, you should look at the ETF's tracking difference since ETFs are designed to track indexes. The lower the tracking difference, the better. Lastly, the fund's liquidity is another thing to look for. Investors often prefer funds that tend to trade in line with its true net asset value.
Seedly previously wrote an article "How to Choose the Right Exchange Traded Fund (ETF) to invest in_", _which gives you a more comprehensive guide to choosing which ETF to invest in!
Hi Deborah! Valuation of ETFs are based on the ETF's NAV (net asset value). The ETF's NAV is the price at which shares are bought or sold from the fund company. Although it is important to note that a ETF's NAV can differ from its market price. Secondly, you should look at the ETF's tracking difference since ETFs are designed to track indexes. The lower the tracking difference, the better. Lastly, the fund's liquidity is another thing to look for. Investors often prefer funds that tend to trade in line with its true net asset value.
Seedly previously wrote an article "How to Choose the Right Exchange Traded Fund (ETF) to invest in_", _which gives you a more comprehensive guide to choosing which ETF to invest in!