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Flee the NASDAQ! The 5 BIG risks in 2023, Owen & Drew's best investing themes for then next 6 months, Metcash and CKF pop & Medibank slapped by cyber penalties

Australian Investors Podcast

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The Negative Effects of Index Funds on Volatility

Spiva says some index funds can exhibit higher amounts of volatility. But just because the conditions are more volatile, it doesn't mean it's going to be easier. A big reason that index funds experience momentum is actually not in the companies. So you tend to see a lot of momentum trading in index funds when sectors are shifting. When energy prices skyrocket, energy companies go up andYou tend to see momentum in sectors and weights rather than in individual names.

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