This ETF is a Great Way to Play a COVID Recovery

With varying bets on the spread and trajectory of the economic recovery already being priced into the stock market (while we're still in the early stage of the economic decline, in my view), those looking for ways to maximize exposure to said recovery and therefore profit as much as possible may not know where to start.

In this article, I'm going to discuss one Exchange Traded Fund (ETF) which tracks the broad economy and is one of my top ideas for investors seeking broad economic exposure today.

The iShares Russell 2000 ETF (NYSE:IWM) is a great ETF for those looking for broad economic exposure as the Russell 2000 index includes small cap companies, which are lacking from large indices such as the S&P 500, Dow, NASDAQ, etc.

Small caps tend to decline further during an economic shock, but rebound quicker post shock, providing the affirmation and heightened exposure some investors may want.

This index ETF has a rock bottom management expense ratio (MER) and is so broadly diversified, it could provide an excellent base for long-term portfolio regardless of timing.

Even if one were to miss the exact market bottom, holding this ETF over the long term and continuing to add to such a position via dollar cost averaging or other methods should provide excellent returns for the passive and active investors alike.

Invest wisely, my friends