ETFs vs Mutual Funds
The table below summarizes the key structure of Actively managed ETFs vs traditional ETFs and mutual funds.
| Feature | Active ETF | Index ETF | Mutual Fund |
|---|---|---|---|
| Marginable | YES | YES | NO |
| Shortable | YES | YES | NO |
| Tax Efficient* | YES | YES | MAYBE |
| Trades Intraday | YES | YES | NO |
| Active Professional Management | YES | NO | MAYBE |
| Passive Management | NO | YES | MAYBE |
*ETFs are, however, subject to commission costs each time you buy or sell.
Want to learn more ETFs and how they operate? Click here to download our ETF education guide.