An exchange-traded fund, or ETF, is a basket of stocks traded on a stock exchange Each ETF typically represents a particular sector of the economy or of a country at large For instance, the iUnits traded on the TSE are a bundle of 60 large Canadian stocks that track the performance of the S&P 60 Index To acquire these 60 stocks you can either buy each one individually or buy an iUnit that represents all 60 stocks through one purchase