Investment Expert Interviewed for ETF Story

Insight from investment expert Mingyuan Kong, Ph.D., assistant professor in the School of Management, was featured in a GoBankingRates.com article about exchange-traded funds (ETFs). As the article notes, ETFs have become a popular option among investors, but choosing the wrong fund can mean paying more in fees, dealing with volatility tied to a single industry, or seeing few returns. Kong explains that, while two funds can track the same index, they can cost investors differently. For example, the Vanguard S&P 500 ETF (VOO) charges an expense ratio of 0.03%, while the SPDR S&P 500 ETF Trust (SPY) charges 0.0945%.

“Investors should look beyond the index itself and consider other factors such as fees, liquidity, and how they plan to use the ETF,” said Kong. “Over long retirement horizons, the small fees can compound into significant differences for investors.”

The story also appeared on Yahoo.com, MSN.com, AOL.com, and other news sites.