Investing 101: What Is A Stock Market Index?

Written by Lisa Meyer on June 26th, 2017

Discover the DIY investors secret profit weapon

The debate has raged on for years…

Active investing versus passive investing has divided the financial industry of late.

But when fancy fund managers and expensive funds make their money charging the socks off of retail investors like you and I, it’s little wonder that they’re kicking up so much of a fuss.

Investors can now invest the way the professionals do, and the best part is that they can do it without having to be charged for it either!

And at the heart of it all sits something called an Index.

You see, back in the day you had far fewer investment options than the ones we all have today, and investing in an entire market or index was just not feasible.

But what exactly is an index?

And why would you even want to invest in a vehicle that tracks one?

Well, with the help of a few examples from the American indices, let me show you!

Check it out…

 

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Investing 101: What Is A Stock Market Index

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