Investing Dictionary
Basics

What is ETF?

A basket of many stocks in one

Full Explanation

Instead of buying 500 individual stocks, you buy one ETF that contains all 500. It spreads your risk automatically.

Real-World Example

SPY ETF = owns all 500 companies in the S&P 500.

Pro Tip

Great for beginners — instant diversification.

Related Basics Terms

After-Hours Trading

Trading after the market closes at 4 PM ET

Bear Market

When stocks are falling

Bid-Ask Spread

The gap between what buyers offer and what sellers want

Blue Chip Stock

A large, stable, well-known company with a long track record

View all Basics terms →

Learn Investing Like a Game

Bite-sized lessons, a $100K practice portfolio, and Mr. Guy to explain anything in plain English.

Create Free Account

Free forever. No credit card needed.