Editing Index fund (section)

==Fees==
The lack of [[active management]] generally gives the advantage of much lower fees compared to actively managed mutual funds and, in taxable accounts, lower taxes. In addition it is usually impossible to precisely mirror the index as the models for sampling and mirroring, by their nature, cannot be 100% accurate. The difference between the index performance and the fund performance is called the "[[tracking error]]", or, colloquially, "jitter".

Index funds are available from many [[Investment management|investment managers]]. Some common indices include the [[S&P 500]], the [[Nikkei 225]], and the [[FTSE 100]]. Less common indexes come from academics like [[Eugene Fama]] and [[Kenneth French]], who created "research indexes" in order to develop asset pricing models, such as their Three Factor Model. The [[Fama–French three-factor model]] is used by [[Dimensional Fund Advisors]] to design their index funds. [[Robert D. Arnott|Robert Arnott]] and Professor [[Jeremy Siegel]] have also created new competing [[fundamentally based indexes]] based on such criteria as [[dividend]]s, [[earnings]], [[book value]], and [[sales]].