| The ETF industry has been roaring with explosive growth seen in recent years and is now a preferred investment vehicle for financial advisors over mutual funds and hedge funds. Thanks to unique strategies, creativity, transparency, diversification benefits, enhanced tax competences, low turnover and low cost, the ETF now has a bigger asset base than hedge funds, overcoming all odds in its investment tool.
In particular, investors seek to trade in ETFs that can easily be purchased and sold on the market, suggesting that the ETF should have enough liquidity. Volume, or the number of shares traded in a particular period, is definitely the most important consideration for determining the liquidity of a particular fund...............................................Full Article: Source
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