The "daily Call" From Option Alpha: Options Trading | Stock Options | Stock Trading | Trading Online

Hey everyone. This is Kirk here again from Option Alpha and welcome back to the daily call. Today, we’re going to answer the question – “What are low-cost index funds?” Low-cost index funds are exactly what they sound like. They are index or ETF funds that offer the lowest possible expense or expense ratio fee cost to the end investor. Now, many of the lowest-cost providers right now when it comes to funds and ETFs that track global indexes and global markets charge as little as 0.03%. Yes, that’s not a typo. That actually is their fee. It’s a very, very small fee to put the fund together and to basically do all the reporting and tracking essentially. In addition to that, many of the brokers nowadays, including TD Ameritrade and Schwab, etcetera, offer the ability for investors to purchase these low-cost ETFs and index funds for no commission or commission-free. And so, this is a huge advantage that many investors have in today’s market that frankly just was not available even five or 10 years ago. Not only t