Exchange traded funds (ETFs) are closed end indexed mutual funds. While closed end funds have existed for decades, the notion of tying them to an index, such as the S&P 500, only took off in the 1990s. Growth in the United States and Europe has been explosive. ETFs offer an attractive alternative to open ended indexed mutual funds or futures on indexes.

This edited collection provides a nice excellent introduction to ETFs. Chapters discuss the mechanics, performance and market for ETFs. The book has a slight European bias, but there is more than enough information on US products to satisfy US readers. Not all the chapters are strong. The one on Islamic ETFs is little more than an advertisement for certain ETFs. Other chapters are excellent, and even scholarly Collectively, the chapters offer a fairly comprehensive introduction. Over a third of the book is devoted to appendices detailing existing funds, sample documentation, etc.