ETF Screener

ETF screener is a tool that helps to search and filter various ETFs by different parameters. The ETFs can be screened by as many parameters as are offered by the ETF screeners. The parameters can range from listings, performance, profits, commissions, taxes, under-lying assets to any additional feature of the ETFs. The utility of an ETF screener is to identify the best available ETF depending on the preferences.[br]

ETF screener is a tool that helps to search and filter various ETFs by different parameters. The ETFs can be screened by as many parameters as are offered by the ETF screeners. The parameters can range from listings, performance, profits, commissions, taxes, under-lying assets to any additional feature of the ETFs. The utility of an ETF screener is to identify the best available ETF depending on the preferences.[br]

 

How do ETF Screeners Work?

The working of an ETF screener is similar to that of any filtering software. Most of them maintain a database, online or offline. When the criteria are selected, the search engine of the ETF screeners looks for the ETFs that match the criteria and show the results till being asked for.

 

Most of the ETF screeners offer multi-layer filtration. This means that a trader first narrows down the search by selecting the broader criteria and then narrows down on the right ETF for himself.

 

How to Find an ETF Screener 

With ETF trading going virtual, most of the ETF brokers have started offering ETF screeners as a value added service. These brokers need you to open an account to use the screener though few offer direct screening as well.

 

Websites like the NYSE or NASDAQ offer free services.[br]

 

Advantages of an ETF Screener 

Besides saving time, an ETF screener offers the following advantages:

• Rather than researching on all the ETFs available, ETF screeners lets you narrow down the results and study those ETFs in detail. This decreases confusion and other complexities.

• The many parameters available help in making informed decisions by facilitating incisive screening. Even the seemingly homogeneous ETFs can be compared easily.

• It brings all the statistics to one platform. So, you can screen a list of ETFs that you can invest in. It also aids in diversification.

 

Disadvantages of an ETF Screener 

Some of the disadvantages of the ETF screener are:

• ETF screeners yield results based solely on numbers. This means that the ETF shown may not be the best ETFs to invest in. The results lack technical or fundamental analysis.

• Their list may not feature all the available ETFs. So, leaving out ETFs could be profitable.

 

ETF screeners, at best, should be used as key indicators of the best ETFs. Investments should not be made entirely on ETF screeners’ suggestions.