Indices
Baskets that track whole markets, from the S&P 500 to European benchmarks.
An index measures the combined performance of a group of companies. Instead of picking a single business, exposure is spread across an entire market or sector.
Index exposure is available through funds, ETFs and derivatives. Each route has different costs, tax treatment and risk profile.
What to be careful of
- Broad exposure reduces single-company risk, not market risk
- Fund, ETF and derivative routes are not equivalent
- Currency of the index can affect your returns
Risk warning. Trading leveraged products involves significant risk and may not be suitable for all investors. You should understand the risks before investing.
The information provided on this website is for educational and informational purposes only. Nothing on this website constitutes personal financial advice, investment advice, or a recommendation to buy or sell any financial instrument. Users should conduct their own research and seek independent professional advice where appropriate.