The three most widely followed US stock indexes—S&P 500, Dow and Nasdaq—are tracked by many ETFs and mutual funds.
The S&P 500 represents approximately 80% of the US stock market. It is a market cap weighted index of 500 leading US companies. Microsoft (MSFT - Free Report) , Apple (AAPL - Free Report) and Amazon (AMZN - Free Report) are its top holdings.
The Dow Jones Industrial Average is a price-weighted measure of 30 US blue-chip companies selected by the editors of the Wall Street Journal.
Boeing (BA - Free Report) and Home Depot (HD - Free Report) are its top holdings. Google-Alphabet (GOOGL - Free Report) and Amazon (AMZN - Free Report) are not included in the index because their prices are too high and they will change the index too much.
Nasdaq 100 is a large-cap growth index. It holds 100 largest non-financial companies listed on the Nasdaq exchange. Microsoft, Apple, Amazon, Facebook and Alphabet are its top holdings.
To learn more about the Vanguard S&P 500 ETF (VOO), SPDR Dow Jones Industrial Average ETF (DIA) and Invesco QQQ (QQQ), please watch the short video above.
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