Exchange Traded Funds: Should they be part of your portfolio?

Rohit is a relatively seasoned investor in the market. He has been investing in mutual funds for the last three years now and is happy, but his financial planner is suggesting asset allocation and diversification in his portfolio, since the base in well built, between a mix of equity, debt and balanced funds. He is saving for primary goals and his financial planner has suggested some allocation to Exchange Traded funds (ETFs) for meeting his son’s education goal.
This is what his financial planner explains to him….