There are also leveraged funds, which offer a simplified hedging approach. Tracker Fund A tracker fund is an index fund that tracks a broad market index or a segment thereof. You can set it up and forget about it. Many of them are major household names. An index fund is a type of investment fund — either a mutual or an ETF — that is based on an index. In addition, investors are advised that past investment product performance is no guarantee of future price appreciation. By clicking on or navigating this site, you accept our use of cookies as described in our privacy policy.