There is little chance of losing.

Index fund is a pure stock fund, which will always hold almost all Man Cang stocks. In other words, investing in index funds means investing in a basket of stocks. The fund company itself is light asset company, which collects management fees. Moreover, the state also strictly controls the leverage of fund companies to make high-risk investments, so it is no problem for most fund companies to maintain normal operations. Usually it doesn't need to spend too much money, mainly to support fund managers and staff. In particular, index funds have lower operating costs.

Index funds hold stocks and don't have much cash. The stock will not evaporate. So at the time of liquidation, the index foundation sells its shares and returns the money to investors according to the net value of a certain day. As the name implies, index funds are fund products 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 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 target index.