Advantages of ETF index funds over mutual funds index funds:
- Lower Management Fees.It means lower expense ratio compare to well known Mutual Fund.
- No Penalties on Selling and Buying for any time duration.
- Low or No Commission and with Discount Broker most of them are providing Free Brokerage for ETFs.
- Instead of trades executing at the end of the day they can be bought or sold at any time the market is open (including pre and after market trading)
- Standard tools (e.g., charts) work better with ETFs vs Mutual funds.