An index fund is a type of investment which has been in existence since the late ‘70s but has become popular only now. Investors who don’t have the time and knowledge to invest directly in a particular market opt to invest in index funds instead of mutual funds because index funds have low fees and generate more returns over the long term.
In “Index Funds: What You Need To Know Before You Invest In Index Funds”, you’ll learn about investing in index funds. The first chapter gives you a bird’s eye view of what an index fund is. Chapter 2 tackles its advantages and disadvantages while the third chapter talks about the various indexing methods used in determining a fund’s composition.
Chapter 4 talks about the potential difficulties you may encounter if you invest in index funds while the next chapter discusses the reasons why you can choose to invest in them. Chapter 6 talks in detail about how index funds work. The seventh chapter deals with tax benefits you may take advantage of if you invest in index funds while the last chapter helps you decide which of the different index funds you can choose to invest in.
The concept of investing is actually easy to understand. You keep your money in an investment scheme with the hope of generating profits from it. Of course, the profits must be sufficient enough to build your wealth. However, with the myriads of investment schemes that have been introduced in the market today, it is now a pre-requisite for everyone to make due diligence before he parts with his hard-earned money.
This book teaches you about index funds and lets you decide if you want to invest in them or not.