What does the S&P 500 measure?

The S&P 500 is a stock market index that measures the performance of about 500 companies in the U.S. It includes companies across 11 sectors to offer a picture of the health of the U.S. stock market and the broader economy. What companies are included in the S&P 500?

Is the S&P 500 a float-adjusted index?

The S&P 500 is a stock market index that is meant to track the U.S. equity market. The index is made up of 500 of the largest public companies. It is float-adjusted and calculated using a proprietary index divisor developed by Standard & Poor's. A downside to the index is that it is weighted toward large-cap stocks.

Is the S&P 500 a risky stock?

The S&P 500 is prone to price swings and large sell-offs during recessions or other periods of U.S. economic weakness, making it relatively risky for investors with time horizons of two years or less. The origin of the S&P 500 dates to 1923 when Standard and Poor's introduced a stock index that included 233 companies.

What is the Standard & Poor's 500 (S&P 500)?

One of the most significant indices on the world’s trading arena, the Standard & Poor’s 500 is commonly used by investors to define the right market entry moments. Being composed of the largest corporations, it reflects the state of the global economy.