After the SEC approved the launch of single-stock ETFs, the market has been flooded with new options for investors. Over the past month AXS Investments alone has launched eight, GraniteShares followed with four, and Direxion just recently launched one as well. Investors should understand the risk involved with single-stock ETFs as their price is solely affected by the stock. The ETFs also tend to have a larger fee with some as high as 1.15%.
Single-stock ETFs look to offer a simple and transparent way for investors to make money.