Advantages of Index Funds

Advantages of Index Funds

1. Long-term solidity: 
Individual investments fluctuate a great deal. However, since index funds are tied to market performance, their volatility is quite low over time periods of 15-25 years.

2. Low costs:
Costs for Index funds are generally much lower than other types of investing.

3. Minimal management requirements:
You don’t even have to do much to manage your index funds. If you want to create an asset allocation based on the 100 years method, that’s easy. If you are 30, invest 70% of your portfolio in stock index funds and 30% in bond index funds.