- tracker fund
- Investment funds that invest in a share portfolio weighted according to the market capitalisation of the various shares in that index, e.g., the FTSE 100. They buy and sell shares according to changes in relative market capitalisation of the companies. These tracker funds thus try to "track" the market rather than beat it. Financial Services Glossary————A fund that aims to mirror the performance of a chosen share index. The amount invested in each company is proportional to the company's weighting on the target index. Management fees for a passively managed tracker fund is lower than an active fund. London Stock Exchange Glossary————The fund that manages the capital invested in a specific tracker. NYSE Euronext Glossary
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An investment fund that tracks the performance of a particular stock index by investing in its constituent shares in the same proportion as the index itself. The fund's risk and returns will match that of the index.* * *
tracker fund UK US noun [C] UK FINANCE► INDEX FUND(Cf. ↑index fund)
Financial and business terms. 2012.