Index fund- 30 years results of investing in index fund
Introduction : if you are a absolute beginner in the world of investing , you index fund is a tool or a investing instrument ,where you can start your journey and make at less 12% returns per annum in a long term , let me tell you how WHAT IS INDEX FUND : Index fund is a fund (portfolio) of a number of companies which is listed in a row or a manner in the terms of there market capitalization , like top50 , top500 , next top 50 ext. It,s not a actively managed by the fund managers they just follow the pattern of the companies coming or going out from the list . that is why the expense ratio of these funds are less than actively managed funds . RISK IN INDEX FUND : The risk in index funds is very low even if nothing goes extremely dramatic ( earth quick , war etc.) in the country wheres index fund you are investing in can give you normally 12 to 15 percent return per annum in a long run. TOP INDEX FUNDS : SENSEX , NIFTY 50 , S&P 500 How time can make a huge diff...