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Do ETFs Tempt People to Become Daytraders?

ETFs seduce people to become daytraders! That’s the populist claim lodged against ETF investing, but is it supported by facts? What does the data show?

To find out, a Vanguard study titled “ETFs: For the Better or Bettor?” examined more than 3.2 million transactions in more than 500,000 positions held in the mutual fund and ETF share classes of four different Vanguard funds from 2007 through 2011.

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