I want to track an index for my savings, but I wasn't able to find in my country (Argentina, if it matters) an Index Fund that's cheap, has a low tracking error and that I can expect won't be dissolved on the mid term.
So, even if it's a bit more work, I'd like to give a try at building an index tracking portfolio.
Any literature references? The most frequent advice is to limit to around 5 stocks, but how should I choose them?
Assuming I'll add new saving funds monthly, should I use them to rebalance the portfolio, or always purchase at the same propotion?
How do I balance? By productive area? or by the representation of the stock chosen inside the index? How do I handle changes in the composition of the index?
How do I measure the performance of my portfolio, if I'm constantly adding funds to it?