ETFs are similar to mutual funds in that they offer investors access to the performance of an index by buying shares in a single fund. But they differ from mutual funds because like equities, ETF shares are listed on an exchange and can be bought or sold via a broker. Tracking an index helps to diversify risk and exposes investors to a wider range of companies, insiders explain.

In Europe, ETFs are in their infancy, explain SsgA executives. The offering is geared to provide European investors with an alternative investment opportunity. In the US, more than 78 ETFs currently exist with total assets of $49 billion.

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John Salustri

John Salustri has covered the commercial real estate industry for nearly 25 years. He was the founding editor of GlobeSt.com, and is a four-time recipient of the Excellence in Journalism award from the National Association of Real Estate Editors.