Clients often ask me what an exchange-traded fund is, the acronym ETF. An exchange-traded fund is an ETF that is a basket of securities that trade on exchange just like stocks and bonds do. ETF share prices fluctuate all day as the ETF is bought and sold. This is different from mutual funds where they are priced at market close. ETFs can contain all types of investments, stocks, bonds, and commodities, etc., both in the U.S. and internationally. ETFs offer low expense ratios and have often tax benefits to them as well.