Lower cost, increased liquidity, better transparency, greater tax efficiencies, often more diversified, and for indexed ETFs there is no “drift” of the types of investments they make.
These are the reasons assets under management for ETFs continue to grow, mutual funds continue to shrink, and more ETFs were launched last year than ever before.
Investments are not a deposit or other obligation of, or guaranteed by, the bank, are not FDIC insured, not insured by any federal government agency, and are subject to investment risks, including possible loss of principal.