What is ETF? Why is Bitcoin so important?
What is ETF?
Exchange Traded Funds (ETFs), known worldwide as the Stock Exchange Investment Fund (ETF), are investment funds that are based on any index of investment products such as stocks, bonds and commodities and reflect this index performance to the investor.
The most important difference that distinguishes stock exchange mutual funds from other mutual funds,
they can be bought and sold just like a stock market on the stock market.
Stock exchange mutual funds can be bought and sold within the session hours from banks or authorized brokerage houses.
The ETF is a preferred investment fund because its cost is relatively low compared to other funds.
It is possible to buy and sell for a long time because there is no limit in terms of maturity. ETFs are traded on the stock exchange momentarily like ordinary stocks and can be accepted for credit on the stock exchanges in which they trade.
In addition to lending, it is also possible to take short and long positions as I mentioned in the stock exchange fund.
After well-known investors such as Warren Buffet turned to the Stock Exchange Mutual Funds, ETFs became popular in recent years. Especially in the US stock market, we can clearly see this.
What are the advantages of the Stock Exchange Investment Fund?
You can refer to stock exchange funds as stocks traded on the stock exchange. How are stocks bought and sold; stock exchange mutual funds can be bought and sold easily during trading hours. In this respect, stock exchange funds can easily be turned into money.
Ease of operation.
Stock exchange mutual funds can easily be bought and sold in the same way as stocks within the session hours during the days when Stock Exchange Istanbul is open to transactions.
Low transaction cost. Stock exchange mutual funds are popular all over the world and they continue to spread every day.
One of the reasons investors prefer these funds is that the stock exchange mutual funds are in the category of products traded at a low cost.
Tracking advantage. The investors who receive the stock exchange fund can control and monitor which assets the stock exchange fund shares they receive are formed.
Security.
As long as investors purchase from authorized institutions, exchange traded funds such as other mutual funds are also safe because they are kept in Takasbank.
Sustainable pursuit. The net asset values of the stock exchange mutual funds are displayed continuously within 15 second periods within the trading hours of Stock Exchange Istanbul.
In this context, investors are able to follow the changes in market conditions and share prices and the rate at which the fund has a net asset value.
If the ETF approves Bitcoin, it is believed that Bitcoin will be on the rise. The reason for this is a small sample. For example, consider an ETF that reflects Precious Metals Market prices or the ISE Istanbul ETF in the BIST30 index.
The ETF price will rise in the same way if the price of the ETF increases by a certain percentage of the day. For example, an increase of 1% will be 1% up on the ETF.
There is an important point that needs to be known here. An ETF price index is included in the determination of the index.
In other words, the supply is not demanding as it is in other products, but indexes for price determination are taking place.
Recently, the person who spoke on the video channel that I met on the Youtube channel Moon said that if the ETF is approved, we can see Bitcoin for 60k. This will surely make many friends I know and know from the stock market Steemit in the future
. It will blow me away from happiness.
It may be a source of hope for Bitcoin, which has been shaking constantly for the last few months and then being shaken by bad news.
I watched a foreign video on Youtube today. Onda was told that the ETF had approved Bitcoin. The fact that I can not find clear and official news still seems to be an outstanding issue.
I spell my writing more through the sources. I hope you like.
Thank you for reading
