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The Inside Scoop on Indexes

The Streetwise Fund^™ is a Balanced Mutual Fund with investments spread across 4 Indexes. But what exactly is an Index?

An Index is a weighted average of the daily price change of a collection of stocks or bonds. Those particular stocks or bonds have been selected to represent the performance of the overall market. So if the market goes up, they go up – as one would hear on the evening news.

The S&P 500 is one of the world’s best-known Indexes, and is the most commonly used benchmark for the US market. Having it in the Streetwise Fund^™ is in essence like acquiring stock in all five hundred companies that make up that index.

Technically you could invest in all the stocks that make up an Index but it’s difficult to keep track of the hundreds of individual stocks. Index-based Mutual Funds allow you to invest in all of the holdings of the Index, and in the same proportion as the Index too.

Find out why investing in the Index is streetwise.