ETFs are hot everywhere but workplace retirement plans
By Beth Pinsker
ETF shares are also sold whole. But investors usually buy fractional mutual fund shares in a retirement plan, which are better for handling the random-dollar, bimonthly contributions most employees make to retirement accounts.
Dan Egan, director of behavioral finance at the online investment company Betterment, says that one thing that is stopping other providers from switching from mutual funds to ETFs is how they are paid – partly by commissions from mutual fund companies.
This article originally published August 15th, 2017 on Reuters.