Index fund refers to the price-earnings ratio of index fund. P/E ratio = share price/earnings per share, which is one of the indicators reflecting the valuation level. Generally speaking, the lower the P/E ratio, the lower the valuation, the higher the P/E ratio and the higher the valuation.

The price-earnings ratio of index funds is actually the price-earnings ratio of indexes. We can check the price-earnings ratio of the index through the China Securities Index Network.

The index of P/E ratio does not conform to all index funds. For example, some index funds are composed of high-growth stocks in the early stage. This kind of enterprise is not profitable, but it has certain growth. If the price-earnings ratio is used for screening, investors may miss opportunities.

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