As the name implies, IndexFund is a fund product with specific indexes (such as Shanghai and Shenzhen 300 Index, Standard & Poor's 500 Index, Nasdaq 100 Index, Nikkei 225 Index, etc.) as the target. ) as the underlying index, and take the constituent stocks of the index as the investment object, build a portfolio by buying all or part of the constituent stocks of the index, and track the performance of the underlying index.
Generally speaking, the index fund aims to reduce the tracking error, make the change trend of the portfolio consistent with the underlying index, and thus obtain roughly the same rate of return as the underlying index.
Stock index futures (SPIF) refers to stock index futures, which can also be called stock index futures and futures index. It refers to the standardized futures contract with the stock price index as the subject matter. Both parties agree that on a specific date in the future, they can buy and sell the underlying index according to the size of the stock price index determined in advance, and then settle the difference in cash after the expiration.
As a type of futures trading, stock index futures trading has basically the same characteristics and processes as ordinary commodity futures trading. Stock index futures are a kind of futures, which can be roughly divided into two categories, commodity futures and financial futures.
Stock index option, also known as index option, is an option contract with stock index as the exercise variety. Compared with other options, stock index options have the characteristics of low risk (the biggest loss is premium) and high yield (the futures price difference after exercise).
Simply put, stock index option is to judge the rise and fall of stock index futures, and only needs to pay a certain royalty. If the judgment is correct, you can sell the right to get the premium income, or you can exercise the right to buy stock index futures to get the price difference income of stock index fluctuation after liquidation. Judge the loss of rights.
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