Mutual funds holding portfolios that attempt to duplicate a market average such as the S&P; 500.
Funds that seek to match the returns of a market index by buying into securities that make up the corresponding index (such as S&P CNX Nifty). When you invest in index funds, you are essentially seeking to "buy the market" and not trying to outperform it. Investing in index funds is also known as passive investing.
This category of funds seeks to match the returns of a market index (e.g., Standard & Poor's 500 Index). The funds usually invest in the securities that make up the corresponding index. When you invest in index funds, you are essentially seeking to "buy the market" and not are trying to outperform it.
Funds that track a particular index and attempt to match its returns. While an index typically has a much larger portfolio than a mutual fund, the fund's management may study the index's movements to develop a representative sampling, and match sectors proportionately. See also Enhanced Index Funds.
A type of mutual fund in which the portfolios are constructed to mirror a specific market index. Index funds are expected to provide a rate of return over time that will approximate or match, but not exceed, that of the market which they are mirroring.
A type of mutual fund which attempts to achieve a performance similar to that stated in an index such as the S & P 500 Index, the Nikkei 225 or the FTSE. The purpose of this fund is to realize an investment return at least equal to the broad market covered by the indices while reducing management costs.
Index Funds seek to mirror the performance of a market index (e.g., S&P 500 or S&P MidCap 400). While most growth funds seek to outperform major indexes by stock selection, an Index Fund essentially seeks to replicate the performance of an Index.
A class of equity funds that invest in equity shares of various companies in the same proportion in which they appear in the composition of any popular index, such as the BSE Sensex, S&P 500 or NASDAQ composite. The performance of such funds closely tracks the performance of the index.
Unit trusts which track the performance of an index. This is usually carried out by either investing in the shares comprising the index or by buying a sample of shares making up the index or a derivative based on the likely performance of the index. The value of the fund is linked to the chosen index so that if the index rises so will the value of the fund. Conversely, if the index falls so will the value of the fund.
Mutual funds that are invested to mirror a specific index like the TSE 300, or the Dow Jones Industrial Average. The best performance an index fund can hope to achieve is to match the market performance.
Glossary-I Index Funds are stock mutual funds designed to mimic the movements of a particular index. For example, a fund trying to mimic the movement of the Standard & Poor's (S&P) 500, will either purchase every stock on the S&P 500 in the same ratio that those stocks appear on the index, or will purchase a representative sample of companies that closely approximate the index. Since index funds rarely change their holdings, they are typically cheap to hold and may do better for investors over the long haul.
A passively managed mutual fund that tries to mirror the performance of a specific index, such as the Standard & Poor's 500. Since portfolio decisions are automatic and transactions are infrequent, expenses tend to be lower than those of actively managed funds.
Index funds are a type of mutual fund that replicate the activity of a market index such as S&P 500 or DJIA. index fund investors believe that most managers won’t beat the market. Investors then benefit in a form of low fees from the market returns.
A mutual fund that tracks the performance of a major stock index by including all the company shares in that index. No manager attempts to separate the good and poor performing companies.
Mutual funds that attempt to mirror the day-to-day fluctuations of a market index.