Definition:
ETFs are Exchange traded funds. They track an index, a commodity or a mix of assets like the index fund. ETFs like stocks are traded during the day in the exchange. The return on investment depends on the rise in the index or the commodity value. In some sense the ETF is like a stock, as they are traded in the exchange on real-time basis. In another sense they work like Mutual funds as the underlying asset comprises of a set of stock (like the nifty or a commodity like gold).
