Why index funds can hit a new high is mainly because of their superiority in the economic cycle. In a bull market, index funds can get high returns because their investment strategy is to track stock indexes. In the bear market, the risk of index funds is relatively small, because the proportion of stocks allocated is certain, which is not affected by the personal wishes of fund managers and reduces the risk of investors. Therefore, index funds have perfect risk management and high profitability, so that they can obtain ideal returns in different market environments.

The low cost of index funds is also one of the reasons for its new high. As a passive investment tool, the management cost of index funds is relatively low, usually between 0. 1%-0.5%. In contrast, the cost of active funds is higher, and the average management cost can reach 1.5%-2%. The low cost of index funds can reduce the burden on investors and improve the return on investment, thus attracting more investors. In addition, the transaction cost of index funds is also very low, because there is no need to buy and sell stocks frequently, just adjust the proportion of stock portfolio.

With the development of the capital market, the index fund market in China is gradually maturing. The gradual opening of China's capital market, the continuous promotion of supporting policies and the continuous expansion of information transmission channels have made the development of index funds in China market more and more prosperous. At present, there are a large number of index fund products, which cover many characteristics such as high-quality target, low cost, high quality, openness, convenience and transparency, and become one of the financial management tools chosen by many investors. I believe that in the future, with the continuous opening of China and the maturity of the capital market, index funds will also play a greater role in the market and create higher value.