Index Funds

Index funds are a type of mutual fund or exchange-traded fund (ETF) designed to track the performance of a specific market index, such as the NIFTY 50. Instead of actively selecting stocks, index funds hold the same securities as the index they follow in similar proportions. This passive investment strategy aims to mirror the index's returns, offering diversification and generally lower fees compared to actively managed funds. Index funds are a popular choice for long-term investors seeking market-matching returns.