Twenty-four years after investment managers decided to implement the S&P 500 indexing strategy, the verdict is in -- indexing is the way to go! The first indexers beat over 99% of all actively managed stock funds. In the last ten years, funds based on the S&P 500 have outperformed over 80% of all mutual funds. Today almost 10% of the total market value of all stocks traded in the U.S (about 450 billion) is indexed to the S&P 500.
This book covers all aspects of indexing, including:
-- choosing a benchmark
-- using derivatives to index
-- performance track record versus active management
-- index methodology and other styles
-- index price effects on constituent securities
-- indexing other asset classes, and more.
