Rick Ferri, author of The ETF Book posted a decision tree of sorts about ETF vs. mutual funds:
To ETF or Not to ETF
IMO, if you've already got a brokerage acct [and free or low cost trades], and won't be making a lot of purchases/sales, go with the ETFs. If you've got everything at Vanguard [and no brokerage acct], and will be making a lot of purchases/sales, go with the MFs, especially if you can get the admiral shares. Remember that Vanguard's ETF are just share classes of its mutual funds, so they will be almost exactly as tax efficient as the corresponding index MFs.
- Alec
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