When it comes to building wealth, the investing world offers multiple paths — and three of the most popular choices are Index Funds, Mutual Funds, and ETFs (Exchange-Traded Funds).
But with so many similarities and subtle differences, many beginners (and even seasoned investors!)
find themselves asking:
👉 Which one is better for me? In this article, we’ll break down the differences, compare the pros and cons, and help you choose the right option for your investment style, goals, and budget.
🧠 1. What Are Index Funds, Mutual Funds, and ETFs? (Quick Overview) Before jumping into a head-to-head comparison, let’s clarify the basics:
🔹 Index Funds An index fund is a type of mutual fund or ETF that aims to mirror the performance of a market index (like the S
