ETF         

Exchange Traded Funds (ETF)

An ETF is traded like a regular stock, but instead of shares representing a company, they represent an index of stocks. They have become popular because they give diversity similar to a mutual fund, but they do it with lower expenses and more flexibility in trading since they can be traded anytime during the day, just like a stock. The first ETF was established in 1993 when the spiders (SPDR) started trading, representing the stocks in the S&P 500.

SPY (SPDR, spider)

The Standard & Poor's Depositary Receipt (SPDR) was was established in 1993 as the first ETF. It is traded as a regular stock on the American Stock Exchange under the symbol SPY. This security represents the stocks in the S&P 500, with dividends distributed quarterly based on the accumulated stock dividends held in trust, less any expenses of the trust. Each share trades at a price that is about 1/10 of the S&P 500 Index.

QQQQ (Cubes, Qs)

QQQQ is the symbol for the ETF tracking the stocks in the Nasdaq 100 index, with low operating expenses. This gives diversity, weighted toward technology companies, but with more flexibility in trading since they can be traded as a single stock anytime during the day.

Diamonds (DIA)

DIA is the symbol for shares in a trust representing the thirty stocks in the Dow Jones Industrial Average, traded on the American Stock Exchange like a regular stock.

When you are analyzing potential option positions, it helps to have a computer program like Option-Aid that swiftly calculates volatility impacts, probabilities, statistics, and other parameters of interest. These programs can pay for themselves with the first trade that they help you with.

Get FREE Option Tips

The Option Trading Tips Newsletter is published by MindXpansion, the developers of Option-Aid. This newsletter gives you information for maximizing your profits in options trading, including option strategies and market indicators. Fill in the following information to subscribe to this FREE service.

  Email:    
  
  How you were referred to Us?   
			      
			Friend
			Google
			Yahoo
			MSN
			Ask
			Ad
			Other Link
			Other
 			
 

Buy Option-Aid Today and Maximize Your Profits!

       As you start using this valuable option software program and become familiar with the vast amount of information it puts at your fingertips, it quickly becomes an indispensable tool for evaluating option positions.

Information is the Key to Increasing Your Wealth

       Option-Aid is a great trading tool for playing out "what-if" scenarios to maximize your profits and minimize your losses. It has many features to give you the Trader's Advantage.

       Buy it today! Profits from your first position can more than pay for the program. Your order will be placed through a secure server.

       It will change your future! Satisfaction guaranteed. Order it now!

Related financial Sites:
Valuation of Company Options
Option Posting Service for Companies
Valuation of Employee Options
Forex Trading Resources