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What is the S&P 500 stock index?

S&P 500 Stock Index: An unmanaged index that tracks the stocks of 500 primarily large-cap U.S. companies. Performance and Expenses GROWTH OF $10,000

Why is the S&P 500 a closely followed index?

For that reason, 10 of the largest publicly-traded companies in the U.S account for about 20% of the index overall performance. The S&P 500 Is a closely followed index as it acts as an effective representation of the overall U.S economy.

Is the S&P 500 a good index?

The index includes 500 leading companies and covers approximately 80% of available market capitalization. The S&P 500® is widely regarded as the best single gauge of large-cap U.S. equities. The index includes 500 leading companies and covers approximately 80% of available market capitalization.

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