How Beginners Can Start Investing in Index Funds Today
Investors seeking long-term wealth building can invest in an index fund, which is considered as one of the best options.
Features of an index fund
It is a mutual fund that passively tracks and replicates a market index—such as the Nifty 50 or Sensex—by automatically investing in the same stocks in the same proportions.
This does not outperform the market; it just replicates the market.
It is managed by algorithms, not by fund managers. Hence called as a passive fund.