Who Should Invest in Index Funds?

Index funds are a type of mutual funds designed to track the performance of a specific stock market indices (such as BSE Sensex, Nifty 50, Nifty Midcap Index etc.) These funds aim to replicate the investment returns of particular benchmark indices by holding a securities portfolio that closely mirrors the index's composition. But who should invest in index funds? 

Index funds are an ideal investment choice for relatively risk-averse investors as these funds map a particular market index, making them less prone to equity-linked risks. However, there is still risk and volatility when the market is downturned. 

They can also be a suitable choice for investors who are new to mutual fund. This is because the investment in index funds only relies on the index fund's portfolio manager to match or track