Phrases with «index tracking»

"index tracking" refers to the practice of designing an investment portfolio to closely mimic or mirror the performance of a specific market index, such as the S&P 500. The goal is to achieve a similar return as the index by investing in the same or similar assets in proportional amounts. It allows investors to passively invest in the overall market without actively selecting individual stocks. Full definition

Related phrases

Sentences with «index tracking»

  • One way to avoid jumping into and out of funds is to simply invest in index tracking funds. (thecollegeinvestor.com)
  • The overall grades for the nation and the states are the average of scores on the three separate indices tracked by the report. (edweek.org)
  • The average hedge fund is currently delivering the same performance as a simple basket of index tracking ETFs, and the latter charge barely 0.5 % a year. (monevator.com)
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