ETF

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A low-cost index fund is a type of mutual fund or exchange-traded fund (ETF) that seeks to replicate the performance of a specific stock market index, such as the S&P 500 or the Dow Jones Industrial Average.

Index funds are designed to provide broad market exposure and a diversified portfolio, which can help to reduce risk and minimize the impact of individual stock volatility. Because they are passively managed and simply track the underlying index, index funds typically have lower expenses and fees than actively managed funds.
Investing in a low-cost index fund can be a simple and effective way to gain exposure to the stock market and participate in its long-term growth potential. Rather than trying to pick individual stocks, index fund investors can benefit from the collective performance of the underlying index, which includes a broad range of companies across different sectors and industries.

Some popular low-cost index funds include the Vanguard Total Stock Market Index Fund (VTSMX), the SPDR S&P 500 ETF Trust (SPY), and the iShares Russell 2000 ETF (IWM). Before investing in an index fund, it's important to carefully consider your investment objectives, risk tolerance, and the fund's fees and expenses.

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