Why put your money into low-cost index funds?

Stock market investments are known to have the best growth potential. As of May 2022, Sensex has grown more than 70% in the last five years, underlining the fact. But at the same time, investing in stock markets does come with risks parallel to its potential. Furthermore, keeping an eye on the market and changing your portfolio according to the trends could become a chore, especially if you are not a full-time trader. That is where index funds could be of help. Let us learn more about index funds and examine if they suit you. 

What are index funds?

Index funds are mutual funds that mirror an index as it is. For instance, a Sensex index fund will have a portfolio similar to the index’s composition. The composition of the fund will change as per changes in the index. There will be a fund manager like a regular mutual fund, …