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by dne 3748 days ago
ETF = investment fund traded on a stock exchange.

Index fund = investment fund (mutual fund or ETF) that tracks an index, i.e. passively managed.

1 comments

So is something like VSGAX an ETF or is it an index fund?
If I understand correctly, ETF and index fund are orthogonal terms. An ETF is traded on the stock market -- in contrast to a mutual fund which you have to buy through other channels.

An index fund tracks an index rather than being actively managed.

I don't know about VSGAX specifically, but it could be both an ETF and an index fund.

Index fund, it isn't trading in an exchange.