Exchange-traded funds (ETFs) are investment funds traded on stock exchanges, typically tracking various indices, sectors, or commodities. They provide diversification, lower expense ratios than mutual funds, and liquidity, allowing for trading throughout the day. Leading ETFs can offer broad diversification with lower costs. This article highlights top-performing ETFs across equity, bond, fixed income, commodities, and currency categories for February 2025, including XES, XMPT, UNG, and FXY. Investors should consider their financial goals and risk tolerance when selecting ETFs, which are versatile and cost-effective options for both new and experienced investors.

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