What are the benefits and pitfalls of holding an Exchange Traded Fund vs. a regular mutual fund? I am thinking of moving funds from Vanguard 500 Index into 500 index version of their soon to be released Exchange Traded Funds.Exchange Traded Funds charge a commission to buy and sell so they woulld not be suitable to dollar cost averaging.Expenses should be lower and distributions will not be taxed every year.You can sell throughout the trading day rather than waiting until the end of the day.
mawhinney,Here is a link that has some good info:http://www.smartmoney.com/smt/funds/index.cfm?story=200006021Tim.
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