Investors everywhere look for investment products which are safe and which provide good return on the invested money. The commonly available products such as stock, bonds, forex market and commodities market have their own merits and demerits. Stocks can prove risky, bonds may not sound exciting and understanding the forex market often needs a mathematics genius, despite what the advertisers would have you believe.

Welcome to Exchange Traded Fund, the relatively new investment product in the market. ETFS are similar to the conventional unit trust and mutual fund. However, your money here is invested in different stocks belonging to a particular stock group. In the market, some indices perform well and some do not perform well. In ETF, you have the opportunity of investing your hard earned money in different indices simultaneously and so the risk is considerably less. ETF invests money in different sectors and instead of monitoring individual stock, they monitor the sector performance and benefit from them. ETFs issue dividends like many other investment products. They charge a fund management fee amounting to about 2% of your total fund value.

The ETFs are gaining popularity in the investment market for their high reliability and less management issues. They are traded in the stock market in real time. Many mutual fund houses and banks are starting their own ETF products in the market as well. You can collect all necessary information about ETF in the internet. Find out what ETFs can do to your hard earned money.

Some people choose to let the income tax deduction choices on their job filing status be a savings plan. While most folks want the government to receive the minimum possible from their hard won earnings, some see it differently. At the tax filing season, some people owe the government money, some are owed. If you’ve chosen to have extra deductions, without having the extra expected income, then you are likely to get a refund. It’s a unique savings plan.

For those who have trouble being disciplined savers, such as the sort of person who finds they need a payday loan every two weeks, this can be an easier way to accrue earnings without having to think about it. Of course, if they had more discipline, they would gain some benefits by saving with a bank. Access to their funds in an emergency is one advantage. Earning interest on that money is another. The government allows for neither when it collects income tax from employee’s through their employers.

There is something exciting about getting a large check all at once, versus the more mundane savings method. Perhaps it’s an immature approach, but it does have the benefit of working toward building savings that otherwise wouldn’t happen. Some people need a gimmick or excitement associated with their money. With interest rates so low, it’s not much of a loss to do it this way. It’s a way more successful strategy than gambling or playing a lottery.