What is Indices Trading

A stock index or stock market index is a measurement of the value of a section of the stock market. It is computed from the prices of select stocks (Typically a weighted average range). It is an instrument used by investors and financial managers to describe the market, and to compare the return on specific investments.

Benefits of trading indices

Index base instruments enable you to gain exposure to the breadth of instruments making up the index on the transaction. The alternative would be to buy each share in the index in the correct proportion.