ETFs Are Hot, But Are They the Right Investment for You?

The younger cousin to mutual funds, exchange-traded funds (ETFs) offer some convenient advantages, like lower fees and greater tax efficiency.

ETF spelled out in cookies with sprinkles.
(Image credit: Getty Images)

Exchange-traded funds (ETFs) first came on the investing scene in the early 1990s and have exploded in popularity since the mid-2000s. They’re popular for a variety of reasons but chiefly for their versatility and convenience.

ETFs are designed to track various industries or investment strategies and can contain a variety of investments, including stocks, bonds, cash equivalents or commodities. They’re a popular alternative to mutual funds, despite the similarities between the two investment vehicles.

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Rich Guerrini
President and CEO, PNC Investments

Rich Guerrini is the President and Chief Executive Officer of PNC Investments. In his role, he is responsible for all sales, operations, risk and compliance activities for the retail investments organization. Prior to his current responsibilities, Guerrini was Executive Vice President and Managing Director of Alternative Investments for PNC Investments and was responsible for development and rollout of the PNC Investment Center and PNC’s web-based investment offering.