Imagine buying a basket of different fruits instead of just one apple or orange. An Exchange Traded Fund (ETF) is similar. It's a security that tracks a basket of assets, like stocks, bonds, or even cryptocurrencies. Instead of buying individual assets, you can invest in an ETF that holds a variety of them. This allows for diversification and easier trading, all on a stock exchange like a single stock. However, keep in mind that ETFs might come with fees and have different regulations depending on the type of asset.
