iShares

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DEFINITION of 'iShares'

A large provider of exchange-traded funds, managed by the investment management company BlackRock. iShares, Inc. funds began trading in the United States and the United Kingdom in 2000, and are listed on major exchanges such as the NYSE Euronext, Chicago Board Options Exchange, Nasdaq and NYSE Arca. In 2010, iShares, Inc. represented 46% of the U.S. ETF market, with over 440 funds and excess of $480 billion in assets under management.

INVESTOPEDIA EXPLAINS 'iShares'

One example of ETFs are shares of a portfolio intended to track a market index. Owning shares of an ETF differs from owning shares of an index mutual fund in that ETFs are traded like stocks and can be more tax efficient and cost efficient. For example, iShares' S&P 500 fund, IVV, is designed to track the performance of the S&P 500.

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RELATED FAQS
  1. How can I buy an S&P 500 fund?

    In 1976, Vanguard introduced individual investors to the first mutual fund designed to mimic the S&P 500 Index. Today ... Read Full Answer >>
  2. What is the difference between iShares, VIPERs and Spiders?

    iShares, VIPERs and spiders each represent different exchange-traded fund (ETF) families. In other words, an individual company ... Read Full Answer >>
  3. What are the advantages of investing in ETFs with high trading volume?

    The advantages of investing in an exchange-traded fund (ETF) with high trading volume are increased liquidity, great parity ... Read Full Answer >>
  4. What are some popular ETFs that track the industrial sector?

    As of April 2015, some of the most popular and best performing exchange-traded funds (ETFs) that track the industrial sector ... Read Full Answer >>
  5. What is the difference between an ETF's net asset value (NAV) and its market price?

    An exchange-traded fund's market price is the price at which shares in the ETF can be bought or sold on the exchanges during ... Read Full Answer >>
  6. How can I calculate the tracking error of an ETF or indexed mutual fund?

    Calculate the tracking error of an indexed exchange-trade fund (ETF) or mutual fund by doing a standard deviation percentage ... Read Full Answer >>
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