Is it better to hold etfs or mutual funds?

By following a standard index, ETFs are more fiscally efficient and more liquid than mutual funds. This can be great for investors looking to build long-term wealth. It's generally cheaper to buy mutual funds directly through a fund family than through a broker. Both ETFs and mutual funds come with integrated diversification.

ETFs can be more tax-efficient compared to traditional mutual funds. In general, having an ETF in a taxable account will generate fewer tax liabilities than if you had an investment fund with a similar structure in the same account.

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