Index funds can be divided into three categories, namely broad-based index, strategy index and industry index, among which we know more about broad-based index and industry index, such as Shanghai and Shenzhen 3 index, Shanghai 5 index and consumption index. It is also easier to understand.

the strategy index is relatively complicated, because it is related to strategy, so the knowledge points involved are relatively specialized. For example, dividend index and low volatility index, what kind of index is this? What about the CSI dividend low volatility index?

dividend index: to put it simply, the constituent stocks of dividend index are composed of 5 stocks with the highest dividend yield and the most cash dividends in the market. A company that can pay dividends stably for a long time at least shows that its profit is stable, its cash flow is abundant, and dividends are also a symbol of strength. Therefore, the constituent stocks of CSI Bonus Index Bank are the real core high-quality assets in the Shanghai A-share market.

low volatility index: a low volatility index is composed of a group of stocks with the lowest volatility through volatility ranking.

Therefore, the dividend low volatility index is the combination of dividend and low volatility.

It is written in the compilation scheme of CSI dividend low volatility index that 5 stocks with good liquidity, continuous dividends, moderate dividend payment rate, positive dividend growth in US stocks, high dividend yield and low volatility are selected as sample stocks of the index, and the dividend yield is weighted to reflect the overall performance of stocks with high dividend level and low volatility.

low volatility means that the fluctuation range of stock price is low. Suppose two stocks rise from 1 yuan to 3 yuan at the same time. A stock shows a price change of 1-15-2-25-3 yuan; B shares show a price change of 1-28-15-2-3 yuan. In contrast, A shares belong to low volatility stocks.

There are four dividend low volatility indexes * * * in the market:

Shanghai Stock Exchange dividend low volatility index: an index composed of 5 stocks with high dividend yield and low volatility in Shanghai Stock Exchange. The main industries are finance, real estate and industry, accounting for more than 6%. The tracking fund is a low-volatility ETF of Industrial Shanghai Stock Exchange.

CSI dividend low volatility index: select 5 stocks with high dividend yield and low volatility from Shanghai and Shenzhen stock markets. Tracking funds include Chuangjin Hexin Securities Dividend Low Volatility Index A and so on.

Shanghai and Shenzhen 3 dividend low volatility index: 5 stocks with good liquidity, continuous dividends, high dividend yield and low volatility are selected from the Shanghai and Shenzhen 3 sample stocks as index sample stocks. The proportion of financial real estate is higher than the first two, exceeding 4%. Tracking funds include Harvest Shanghai and Shenzhen 3 dividend low volatility ETF

CSI dividend low volatility 1 index: 1 stocks with good liquidity, continuous dividends, high dividend yield and low volatility are selected from Shanghai and Shenzhen A shares as index sample stocks. The tracking fund has Tianhong CSI dividend low wave 1A.

how do these four dividend low volatility indices perform?

We compare the Shanghai and Shenzhen 3 Index. All four indexes have underperformed the Shanghai and Shenzhen 3 Index since 216, and the best performance is that the dividend of the Shanghai and Shenzhen 3 is low and slightly underperformed the Shanghai and Shenzhen 3 Index. The main reason is that the scope of Shanghai Stock Exchange is small, and many excellent players will be left behind in stock selection; The Shanghai and Shenzhen 3 was originally the 3 stocks with the largest market value selected from the two cities. The natural income will be better if we optimize it from it. The low-wave dividend index of Shanghai Stock Exchange performed the worst, with an average annualized income of less than 1% in four years.

although the performance of the strategic index is not particularly prominent, it is more resistant to falling in a bear market, but it is better when the market is not good, with a smaller decline.