📈 Markets

Index fund

“A fund that simply copies a list of companies (the index) instead of picking favourites.”

A photograph of the whole market — not a portrait of one face.

— Cash

Real example

An S&P 500 index fund holds the same 500 companies as the S&P 500 index, in the same proportions.

Related terms

⚠️ Educational only · Never financial advice · Read more