Which to Choose: Mutual Funds or ETFs?

Millions of investors turn to mutual funds and exchange-traded funds to help them build diversified investment portfolios with only modest amounts of money to invest. By giving you access to their holdings of dozens or even hundreds of different stocks and other investments, both ETFs and mutual funds can make up the core of a smart investment strategy. But what trips up many investors is whether a mutual fund or an ETF is the better choice for them. In looking at the increasingly hard-fought battle of mutual funds vs. ETFs, let's look at which factors you should consider in making your choice.