ETFs Have Grown Very Rapidly Since Their Introduction in 1993

question 42

Essay

ETFs have grown very rapidly since their introduction in 1993 proving to be very attractive to investors. What are the relative advantages and disadvantages of ETFs?

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Definitions:

Financial Importance

Financial importance refers to the significance placed on managing finances effectively to ensure stability and growth of an individual's or organization's assets.

DSO Analysis

Stands for Days Sales Outstanding, a calculation used to assess the average number of days it takes a company to collect payment after a sale has been made.

Seasonal Changes

Variations in business or economic activity that occur within specific seasons or periods of the year, often predictable and recurring.

Working Capital Management

The management of a company's short-term assets and liabilities to ensure it has adequate funds to continue its operations and avoid financial distress.