2. Tracking error: Passive funds mainly include index funds, ETF funds and linked funds. The tracking error depends on the deviation of funds from the tracking target. The smaller the tracking error of funds, the better.
3. Fund Manager: The investment target of passive funds is selected by the fund manager, and the investment level of the fund manager depends on whether the passive funds have excess returns.
4. Historical performance: Historical performance represents the performance of the fund since its establishment. Investors can choose passive funds with high historical performance.