What’s the difference between ETF , option , warrant , and how to operate in these investment tools more effective?

First question is how about the share market trend in the next few years? have good investment opportunities? second question is what’s the difference between ETF , option , warrant , and how to operate in these investment tools more effective?

A: An ETF is an exchange traded fund – a managed or mutual fund that is listed on the ASX. Some track an index such as the S&P/ASX 200 or the US S&P 500 and are passively managed, some are actively managed.

Options and warrants are derivatives and involve leverage. Unless you are an experienced investor, they are probably not going to be right for you. If you want to learn more, go to asx.com.au and download the ASX’s explanatory booklets.

We publish our views on the market on a very regular basis – keep reading Peter’s commentary (Monday and Saturday). Over the medium term, we think the market heads higher. In the short term, we think a correction of 5% to 10% is a distinct possibility.


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