Episode #6: Why are Exchange-Traded Funds (ETFs) an attractive tool? with Davit Ghukasyan, the COO of Apricot Capital
Exchange-Traded Funds (ETFs) are popular and widely used financial instruments. While they might seem complex at first, ETFs are one of the easiest and most effective ways to diversify your portfolio. In the sixth episode of Apricot Talks: The Smart Investor’s Podcast, we debunk the myths surrounding ETFs and uncover their true potential.
Our guest, Davit Ghukasyan, Chief Operations Officer of Apricot Capital, unpacks the fundamentals investors need to know about ETFs.
Key questions explored in this episode:
🟠What kind of investment instrument is an ETF, and how does it differ from a stock? Learn about ETFs and understand the key differences and similarities between them and stocks.
🟠Why are they a popular instrument among passive investors? Discover why ETFs have become a favorite choice for those seeking simplicity and diversification.
🟠 Who issues them? Learn how ETFs are created and managed by financial institutions.
🟠 What are the development trends of ETFs? Understand the developments of ETFs.
Think of it as loans you give to governments or companies, like Armenian government bonds*. You lend them money for a set period (maturity date), and they pay you interest (coupon) in return. When the bond matures, you get your initial investment (principal) back.
In this post, let's explore the example of people who have savings and want to manage them so they don't lose value over time due to inflation, and potentially earn a bit more.