Because exchange-traded funds (ETFs)are passively managed,they are a good choice for an investor who is looking for tax efficiency.

Question

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ETFs are passively managed, meaning they typically have lower turnover in their underlying investments compared to actively managed funds. This can result in fewer taxable events, making them a good choice for investors looking for tax efficiency.

Because Exchange-Traded Funds (ETFs)are Passively Managed,they Are a Good Choice