Index investing is a form of passive investing that consists in archive the same return as a market index. Usually, it consist in purchasing shares of an index funds. Index funds are mutual funds that mimic the composition of a market index, like the S&P 500 or the Dow Jones Industrial.
When the market index updates it’s composition, the index fund updates it’s composition too. This way, the performance of the index fund will be similar to the performance of the market index...Read More »