Beware of Too Small ETFs

I usually recommend the use of indexed mutual funds and exchange traded funds or ETFs because they’re unmanaged, and generally more efficient. Moreover, they are usually lower cost.

Having said that, I refer to the use of some funds which may not be practical for most investors and, in some cases, ought to be avoided. Take, for instance, the too-small ETFs which are impractical and unwieldy and risky because of their size.

I would suggest, instead, the larger, plain-vanilla types that have been around for awhile. ( See the Earl J Weinreb NewsHole® comments.)