An index fund is a type of mutual fund that is constructed to match the components of a market index.
A passively managed mutual fund that seeks to match the performance of a particular market index. Partially because of lower expenses, index funds outperform the majority of actively managed mutual funds.
Related Fool Articles
Related Community Blogs
Recent Mentions on Fool.com
- Why Shares of NetEase Inc. Fell Today
- What Does the Future Hold for Social Security?
- How Tier 1 Crushed the Market ? and You Can, Too
- Hidden in Plain Sight: 5 Best Stocks in Pharmaceuticals
- 3 Ways to Invest Money Wisely -- Without Spending a Lot of Time
- 3 Things Every American Needs to Know About Retirement