SUBSCRIBE
Enter your Name and Email address to get
the newsletter delivered to your inbox.
Please include name of person that directed you to my online newsletter so I can thank them personally.
Jodie M. Smith
Financial Advisor
Southeast Financial Wealth Management
5110 Maryland Way, Suite 100
Brentwood, TN 37027
Phone: 615-371-3737
Fax: 615-377-0090
TollFree: 800-521-9653, ext. 2321
September/October 2023
A Look at the Major Stock Indexes
There are approximately 5,000 indexes that represent the U.S. equity market. While you rely on these indexes as indicators of how the stock market is performing, you cannot invest in any index. Here’s an overview of the most widely used.
What Is an Index?
An index measures the performance of a group of stocks and provides a snapshot of what is happening across specific industries, businesses, and the U.S. economy as a whole. Indexes are weighted by factors such as price and market capitalization — the total value of a company’s outstanding stock shares.Dow Jones Industrial Average (DJIA)® - The First Index
The DJIA is a price-weighted index of 30 of the largest U.S blue-chip companies trading on the New York Stock Exchange and the Nasdaq. A price-weighted index gives stocks with the highest prices the most weight. The index got its start in 1886, after Charles Dow, Edward Jones, and silent financial partner Charles Bergstresser founded their own news agency called The Wall Street Journal. It was during this time that Dow developed his index as a way to measure stock market performance. As the oldest index, the DJIA is considered a gauge of the broader U.S. economy.S&P (Standard & Poor's) 500®
The S&P comprises 500 of the top companies in the U.S. and represents 80 percent of the total value of the U.S. stock market. Stocks are selected primarily based on market capitalization. The S&P 500 typically serves as an indicator of movement in the entire market.The Nasdaq Composite Index®
The Nasdaq (National Association of Securities Dealers Automated Quotations) is a market cap-weighted index of all stocks trading on the Nasdaq stock exchange. The index is heavily weighted in the tech sector and includes stocks in software, biotech and semiconductor industries, among others.A Few More
The Wilshire 500® — often called the “total stock market index” — includes all publicly traded companies based in the U.S.The Russell 2000® is an index of 2,000 small-cap stocks.
The S&P Midcap 400®, Russell Midcap®, and Wilshire U.S. Midcap Index® represent the midcap market.
1-05373396
CONTACT US
Enter your Name, Email Address and a short message. We'll respond to you as soon as possible.
Jodie Smith is a financial advisor with, and securities and advisory services are offered through LPL Financial (LPL), a registered investment advisor and broker-dealer (member FINRA/SIPC). Insurance products are offered through LPL or its licensed affiliates. Southeast Financial Credit Union and Southeast Financial Wealth Management are not registered as a broker-dealer or investment advisor. Registered representatives of LPL offer products and services using Southeast Financial Wealth Management, and may also be employees of Southeast Financial Credit Union. These products and services are being offered through LPL or its affiliates, which are separate entities from and not affiliates of, Southeast Financial Credit Union or Southeast Financial Wealth Management. Securities and insurance offered through LPL or its affiliates are:
The sender and LTM Marketing Specialists LLC are unrelated companies. This publication was prepared for the publication’s provider by LTM Client Marketing, an unrelated third party. Articles are not written or produced by the named representative.
The information and opinions contained in this web site are obtained from sources believed to be reliable, but their accuracy cannot be guaranteed. The publishers assume no responsibility for errors and omissions or for any damages resulting from the use of the published information. This web site is published with the understanding that it does not render legal, accounting, financial, or other professional advice. Whole or partial reproduction of this web site is forbidden without the written permission of the publisher.