Exchange-traded funds offer a convenient way to invest in sectors or niches that interest you. If you're drawn toward stocks capable of aggressive growth but don't want to choose just a few of them, the Russell Aggressive Growth ETF
The basics
ETFs often sport lower expense ratios than their mutual fund cousins. The Russell ETF's expense ratio -- its annual fee -- is a low 0.37%.
This ETF doesn't have much of a performance record yet, as it's still less than a year old. It's very small, too, so if you're thinking of buying, beware of occasionally large spreads between its bid and ask prices. You might want to just keep an eye on it as it matures a bit, or you might want to be an early investor. Remember that as with most investments, we can't expect outstanding performances in every quarter or year. Investors with conviction need to wait for their holdings to deliver.
What's in it?
Several stocks in the index that this ETF tracks performed well in the past year. Qualcomm
Caterpillar
Other companies didn't perform as well but could bounce back in the years to come. United Parcel Service
The big picture
A well-chosen ETF can grant you instant diversification across any industry or group of companies -- and make investing in and profiting from it that much easier.
Learn about the 5 ETFs That Could Soar in 2012. And if you're looking for some great investments beyond ETFs, consider these 12 Dividend Stocks for 2012.