As traders ask what is ETF in investing, April’s US CPI data at 3.4% YoY sparks discussions. Lower inflation could boost growth-sector ETFs, particularly in robotics and renewable energy, while defensive ETFs may lag given improved economic optimism. Throughout his investing career, Buffett has pointed out and invested in great companies -- from Apple to Coca-Cola -- but he's also spoken of another complementary investment that is an ideal addition to just about any portfolio. Buffett has even held shares in it, and in one of his shareholder letters several years ago, recommended it to all investors. This is the Vanguard S&P 500 ETF (NYSEMKT: VOO) . History shows that dividends have been a significant source of income for investors. When consistent dividend payments and rising stock values are combined, they can be a powerful wealth-building tool. Dividend ETFs give you the opportunity to invest in multiple companies at once, offering more diversification than individual stocks. They can be a good way to reap healthy dividend payments from established companies and add income to your portfolio. In 2024’s volatile backdrop, what is ETF in investing becomes critical as multi-asset ETFs combining equities, bonds, and commodities show relative stability, attracting long-term portfolio rebalancing flows.