What is a fixed indexed annuity? A fixed indexed annuity is a deferred annuity designed to provide growth potential based on the returns of a market index (e.g., the S&P 500® Index) while providing protection against negative returns of the same market index. In addition, they frequently...
An index fund is a type of mutual fund or exchange-traded fund (ETF) that aims to mimic the performance of a certain index. (Psst ... an index is a group of different investments, often bundled together because they have something in common.) You can’t invest directly in an index, ...
An investment in a money market fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency. Although the fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the fund. Fixed in...
Fixed income is an investment approach focused on preserving capital and income. Learn how to gain a reliable stream of income with lower risk than stocks.
Although by definition an index fund is a passively managed security that follows a specific market index, some index fund managers are stretching the definition of index funds by adopting different indexing techniques, many of which require some degree of. Some index fund managers are taking a mo...
ETFs are typically passively managed, meaning that the fund usually holds a fixed number of securities based on a specific preset index of investments. In contrast, many mutual funds are actively managed, with professional investors trying to select the investments that will rise and fall. ...
and corporate fixed-income securities. Other bond index funds sample short, medium, and long-term bond markets. Bond funds in general are a security that provides cash to a government or company in return for a security that has a specific maturity date. At maturity, the bond holder may cas...
Investing for income Fixed income, bonds, CDs Using margin Trading for beginners Advanced trading strategies ETFs Using technical analysis Mutual funds Stocks 1. The S&P 500® Index is a market capitalization–weighted index of 500 common stocks chosen for market size, liquidity, and ...
The mix of assets that adjusts throughout the life of the fund is known as the glide path. "If you have difficulty sticking to a strategy or knowing where to start investing, a TDF can be a great jumping-off point,” say Paige Morandi, CFP®, a Fidelity financial consultant. Types ...
To see why, below, we unpack what index funds are and how they work. We'll discuss the benefits and drawbacks of building a portfolio with index funds along the way. Key Takeaways An index fund is a portfolio of stocks or bonds designed to mimic the composition and pe...