Exchange-traded funds, or ETFs, are another way to track an index like the S&P 500. An ETF is a low-cost, tax-efficient fund that offers another way to stay diversified while investing in the stock market. They can be bought and sold like stocks because they’re traded on stock exchang...
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Discover what the S&P 500 is, how it works, and why it's a key benchmark in the stock market. Learn about its role in investing and market performance.
Another option is a low-cost S&P 500mutual fundor ETF, both of which mirror the index and typically carry less risk than investing in individual stocks. An S&P 500 fund or ETF tries to replicate the performance of the index by investing in listed companies and working to match the index'...
An Exchange-Traded Fund (ETF) is an investment fund that holds assets such asstocks, commodities, bonds, or foreign currency. An ETF is traded like a stock throughout the trading day at fluctuating prices. They often track indexes, such as the Nasdaq, theS&P 500, the Dow Jone...
You may also have a choice betweenindex mutual funds and index ETFs. An ETF can be traded throughout the day, but a mutual fund is priced after the close of trading. So if you plan to trade actively, the index ETF may be more suitable. An ETF sometimes comes with lower expenses and...
The S&P 500 itself was mixed, with roughly half the stocks in the index trading lower on the day. The Invesco S&P 500 High Beta ETF outperformed the market, while the Invesco S&P 500 Low Volatility ETF lagged behind. That illustrates a growing appetit...
For more news, information, and analysis, visit theETFStrategist Channel. Disclosures This is for informational purposes only and is not intended as investment advice or an offer or solicitation with respect to the purchase or sale of any security, strategy or investment product. Although the state...
The S&P 500 is an index so it can't be traded directly. Anyone who wants to invest in the companies that are included in the S&P must invest in a mutual fund orexchange-traded fund (ETF)that tracks the index such as theVanguard 500 ETF(VOO). Limitations of the S&P 500 Index One of...
The DJIA contains 30 companies, compared to the 500 companies in the S&P 500. The DJIA is the second-oldest stock index dating back to 1896. The SPDR Dow Jones Industrial Average ETF is the largest ETF tracking the DJIA.910 The DIA ETF has an expense ratio of 0.16%, which is low...