E*TRADE Financial Corporation has launched a new educational tool that allows self-directed investors to choose from three exchange-traded fund (ETF) or three mutual fund portfolios, based on the investor’s self-identified risk tolerance, time horizon, and preference for active or passive investing.
The three non-proprietary ETF or mutual fund bundles are categorised as either conservative, moderate, or aggressive, and consist of a selection of commission-free, low-expense-ratio ETFs or no-load, no-transaction-fee mutual funds. All feature jargon-free descriptions that highlight recognisable company names to make investing quick and easy to understand and each portfolios can be selected and purchased in a few easy clicks, with just a USD2,500 minimum for ETF portfolios and a USD1,000 minimum for mutual fund portfolios.
“Our industry has made great strides in offering education and resources to main street investors, but the reality is it can still be very daunting to invest in the markets,” says Rich Messina, SVP of Investment Product at E*TRADE Financial. “With this offering, we aim to eliminate confusion, eradicate roadblocks, and empower our customers to take control of their finances through an easy and intuitive digital experience delivered in plain English.”
