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Standard and Poor's 500 Index - S&P 500

What does it mean?
An index consisting of 500 stocks chosen for market size, liquidity, and industry group representation. It is a market-value weighted index, with each stock's weight in the index proportionate to its market value.

In Other Words...
The S&P 500 is one of the most commonly used benchmarks of the overall stock market.

Related Links
Index Investing Tutorial - Get to know the most important market indexes, and the advantages and disadvantages of investing in them.

Five Investing Pitfalls To Avoid - Common sense or common folly? Discover some approaches to circumventing typical stumbling blocks on the road to profitable investing.

Related Terms
Beta | Blue Chip | DJIA | Index | Standard & Poor's | Weighted Average Market Capitalization

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