Of course. When choosing any fund, the strength of the fund company should be the primary factor that investors pay attention to, and index funds are no exception. Although index funds are passive investments, the operation is relatively simple.

However, tracking the target index is also a complex process, which requires accurate calculation and rigorous operation process. Powerful fund companies can usually track the underlying index more closely.

Extended data

After determining the underlying index, you can build a corresponding portfolio and buy various securities that constitute the corresponding index according to a certain proportion. Considering the cost and efficiency of opening positions, we can use complete replication, stratified sampling, industry matching and other methods to build a portfolio.

Complete replication is a method to construct a portfolio completely according to the various securities that constitute the index and their corresponding proportions; Stratified sampling and industry matching use statistical principles to select the most representative part of the securities that constitute the index instead of all the securities to construct the fund's investment portfolio.

After determining the underlying index, you can build a corresponding portfolio and buy various securities that constitute the corresponding index according to a certain proportion. Considering the cost and efficiency of opening positions, we can use complete replication, stratified sampling, industry matching and other methods to build a portfolio.

Complete replication is a method to construct a portfolio completely according to the various securities that constitute the index and their corresponding proportions; Stratified sampling and industry matching use statistical principles to select the most representative part of the securities that constitute the index instead of all the securities to construct the fund's investment portfolio.

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