Index fund, as its name implies, is a fund that invests in index stocks, that is, by buying some or all of the stocks contained in an index, the investment portfolio of index fund is constructed, with the purpose of making the change trend of this investment portfolio consistent with the index, so as to obtain roughly the same rate of return as the index. Index fund is a kind of fund that constructs a portfolio for securities investment according to the principle of compiling securities price index. Theoretically speaking, the operation method of index fund is very simple, as long as you buy the corresponding proportion of securities according to the proportion of each securities in the index and hold it for a long time. The simplest way is that the figures are basically index funds. Index fund, as its name implies, is a fund that invests in index constituent stocks, that is, by buying some or all of the stocks contained in an index, the investment portfolio of index fund is constructed, with the aim of making the change trend of this investment portfolio consistent with the index.

In order to obtain roughly the same rate of return as the index. Index fund means that the fund operates according to the selected index (such as standard &; Poole 500 index), Japan's Nikkei 225 index, Taiwan's weighted stock price index, etc. ), choose the same asset allocation model to invest in order to obtain the income synchronized with the market. Composite index fund. Comprehensive index fund is a common and typical index fund in the market at present. They take the comprehensive index reflecting the whole market as the tracking object, such as Shanghai Stock Exchange Index, Shenzhen Stock Exchange Index, Shanghai Stock Exchange Index 180, Shenzhen Stock Exchange Index 100, the internationally famous Dow Jones Industrial Average Index, Standard & Poor's Index, etc. , are all comprehensive indicators. Because these comprehensive indexes reflect the average income of the whole market, they are not only very representative of the market, but also fully disperse the risks of individual stocks, so these comprehensive index funds have become the mainstream varieties of index funds.