Index funds definition
Examples of Index funds in a sentence
Index funds generally do not attempt to hedge against adverse market movements and may decline in value more than other mutual funds in the event of a general market decline.
Index Fund Selection Risk and Other Index Fund Considerations — Index funds are subject to a special selection risk.
Index funds began to capture a greater fraction of market share as public awareness grew following a congressional subcommittee investigation into whether mutual fund fees were appropriate for the service provided.1 Furthermore, along with the SEC’s goal in 2000 of increasing the role of indepen- dent directors to address conflicts of interest of fund managers (▇▇▇▇ (1999)), mutual fund cliente`le began to shift away from retail towards institutional investors.
Index funds offer the broad security diversification, pricing security and economies of buying in essentially efficient markets at relatively low expense ratios.