Your investing questions, our clear answers.

Our response:

Thank you for your question. Two previous questions may help you understand the difference between these two investments:

• “Which is better: equities or mutual funds?”

• “Which investment is riskier: index funds or mutual funds?”

While we do our best to provide general information to help you get started, we are not able to provide advice. The type of investment that is right for you depends on many factors, including your financial needs, risk tolerance and overall personal financial situation. Speak to a registered financial advisor for advice related to choosing investments.

You can learn more about mutual funds and exchange-traded funds (ETFs) on GetSmarterAboutMoney.ca.