WHAT ARE INDEX FUNDS
Index funds area those types of mutual fund that seeks to track the returns of a market index. Index Funds are a source of investment for investors looking for a less risky long term form of investment.
Advantages of Index funds
• Lower fees
• Investing Experience not required
• Huge variety for making investment
• saves time
• easy to manage
Disadvantage of Index funds
• Less flexibility
• Underperformance of stocks
• Occurance of tracking errors
Index funds are an excellent choice that offers investors of varied skill levels a simple yet successful way to invest. As a mutual fund investor, if you’re interested in growing your money but not willing to do a lot of research, index funds are a great solution to achieving your respective financial goals.
WHAT IS ZERODHA Kite
Kite by Zerodha is a trading platform for investors. It is a set of software provided by Zerodha itself for online trading of stock and commodity exchanges. It is the best trading software available in India as of now.
STEPS TO INVEST IN INDEX FUNDS USING ZERODHA
Investing in index funds is an brilliant way to diversify your portfolio and prepare for the future. To buy index funds using Zerodha you will have to follow these steps :-
1) First you will have to make a Zerodha trading account and complete the KYC verification process.
2) After your Zerodha trading account is ready, go to the app and search for the index fund you are willing to buy.
3) Select the index fund of your choice and add it to your portfolio. There will be a list of index funds available for purchase, along with their details like total return, risk rating, expense ratio, etc.
4) After that, you can enter the amount you wish to invest in the index fund and place the order. Your index fund will be purchased at the market price and added to your portfolio.
Zerodha App also provides a variety of portfolio analysis features that can be used to check the performance and stats of your investments over a period of time.
List of Top Performing Index Shares