So you're getting started in the investing world and keep seeing mutual funds and exchange-traded funds as options. What's the difference, you wonder. And does it matter?
While there are similarities between the two, the differences could determine whether one or the other (or a mix) makes the most sense for you.
"It's very important to understand the differences between them," said Frank McAleer, senior vice president of wealth, retirement and portfolio solutions at Raymond James. "How you use them depends on your investing time frame, your goals, your financial plan — there are a lot of considerations."