Author: Alina-Cristina Racu
Vol. 3 • No. 5 • November 2018
Abstract
The popularity increase of ETFs requires the deepening of some specific aspects, in order to make a good investment. In this paper I present the concept of ETF’s performance and the most important factors that influence it.
I have built three studies in Eviews and analyzed their results to see what aspects should be taken into consideration when an investor decides to buy ETF’s shares.
Keywords: Tracking error, passive strategy, liquidity, market capitalization, volume, risk.
JEL classification: G11, G23