What is a potential drawback of investing in Gold ETFs compared to physical gold? Option: Limited liquidity, Exposure to counterparty risk, Difficulty in tracking gold prices, Higher storage fees

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What is a potential drawback of investing in Gold ETFs compared to physical gold?

Limited liquidity

Exposure to counterparty risk

Difficulty in tracking gold prices

Higher storage fees

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What makes Gold ETFs potentially more appealing than physical gold for some investors?

Greater protection against market volatility

Higher long-term returns

Easier to buy and sell

Lower initial investment cost

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What is an advantage of Gold ETFs over Silver ETFs?

"Higher fees"

"Lower liquidity"

"Higher volatility"

"Higher liquidity"

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What are potential drawbacks associated with investing in ETFs?

Both limited transparency and tracking error risk are potential concerns

The risk of tracking errors deviating from the benchmark index

Limited transparency regarding the underlying holdings of some ETFs

Higher expense ratios compared to traditional mutual funds

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What is a key consideration when deciding between Gold ETFs and Silver ETFs?

"Current fashion trends"

"Investor's risk tolerance"

"Government regulations"

"Availability of physical storage"

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Which potential challenges should investors consider when evaluating Exchange-Traded Funds (ETFs)?

Absence of management fees due to passive investment strategies

Limited liquidity for certain niche or specialized ETFs

The possibility of tracking errors compared to the underlying index

Restrictions on short selling or leveraging ETF positions