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ETFs Find Their Sweet Spot

Liquidity and transparency issues over the past 18 months have helped these vehicles gain favor, but do they outperform?


There is little doubt that exchange traded funds, or ETFs, have now achieved critical mass within the investment community. Since their introduction in 1993 with the Standard and Poor's Deposit Receipt, commonly known as the 'Spider,' ETFs have grown to $535 billion in assets with 758 U.S.-listed funds by of the end of 2008.

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