In my opinion, ETFs is better than mutual fund. ETFs have many advantages than mutual funds. ETFs are newer product than mutual fund stock index. ETFs are more liquid than mutual fund. Investor can buy and sell ETFs anytime they want like stock. You can trade ETFs through day. You may buy ETFs in the morning and sell it afternoon. This will give you chance to gain profit at short time. On, contrary, mutual fund can sell after sponsor finish counting Net Asset Value (NAV).

Even, ETFs are cheaply than conventional mutual fund. ETFs charged investor with few management fees. E.g., Barclays charges annual expenses for nine basis point (0.09 %) of net asset value per year on its S&P 500 ETF, whereas Vanguard charges your annual expenses for 18 basis points on its S&P 500 index mutual fund. On Contrary, Mutual fund will charges you with so many fees. When you buy mutual fund you will be charge with front-end load. The sponsor is usually charges you for 6% invested funds. You need to expend money for redemption too. The sponsor will charge you for 5% or 6% invested funds. Others fee that must you pay are operating expenses and 12b-1 charges.

ETF have also potential taxes advantages. When investor sells their ETFs, the sponsor does not have to sell their share. Therefore, the government does not charge tax to your ETFs. On contrary, when investor redeem mutual fund, sponsor must sell their stock. Consequently, the investor must pay taxes for capital gain taxes.