Investing in financial XFJ

[Ken]

Hi,

I am wanting to invest a small amount of dollars in the financial sector at some stage on the grounds that recovery will happen.

I am wanting to know if I can buy the index XFJ??

Is there a way of buying an index. I also plan on buying the small ords and the asx top 20.

not sure if i can buy an index though...??

 

[Trembling Hand]

Hi,

I am wanting to invest a small amount of dollars in the financial sector at some stage on the grounds that recovery will happen.

I am wanting to know if I can buy the index XFJ??

Is there a way of buying an index. I also plan on buying the small ords and the asx top 20.

not sure if i can buy an index though...??

NO. Not an index directly, they are just figures quoted from a group of stocks.

You can trade derivatives of an index like Futures, options or CFDs but they have lots of disadvantages. Fut are large contracts, options you need to be a rocket scientist & CFDs are not great for long term holds due to the daily interest you must pay.

There may be some ETFs or funds that copy the indexes you are after. Anyone?