Best Share And Stock Indexes

Want to buy the best shares and stocks?, a great place to find them are in the best share and stock indexes, in the USA these are:

  • The DOW – The Dow Jones Index
  • The SP500 – The Standard and Poor 500
  • The Nasdaq 100 – Also called QQQQ and QQQ
Best Share And Stock Indexes

The Nasdaq 100 - The 100 Biggest Tech Companies

These three indexes are all very well established and provide a very good indicator of the state of the USA stock market, which of course is the dominant stock market in the world and has a knock on effect to every other market.

The three stock market indexes that I’ve listed all have very strick rules about which publicily traded companies they contain, and it follows that all the companies in these indexes are on the face of it sound and solid and are therefore some of the best stocks and shares to buy, but not always

Just because a company is in a major index such as the Dow Jones, SP500 oe Nasdaq 100 does not mean that it is going to be a sound investment, I think we all remember companies like Enron which were in the SP500 before going bust

Companies that are listed in these indexes do have some advantages:

  • They usually have a very high daily trade volume which means the spread (the difference between the bid and ask will be very small
  • Because these stocks and shares are very liquid you will have no problems getting filled very quickly at the price that you want
  • Virtually all the stocks and shares in these indexes will have options available on them, meaning that you can use more advanced trading strategies such as covered calls ans coller trades, as well as a whole range of options only trades
  • Many of these stocks and shares will have dividends

The Dow Jones index contains 30 stocks and these are mainly giant industrial companies that have been around for a long time, it is the second oldest index after the Dow Jones Transportation average

Here is the current comanies in the Dow Jones 30

Company? Symbol? Industry? Date Added?
3M MMM Conglomerate 1976-08-09 1976-08-09 (as Minnesota Mining and Manufacturing)
Alcoa AA Aluminum 1959-06-01 1959-06-01 (as Aluminum Company of America)
American Express AXP Consumer finance 1982-08-30 1982-08-30
AT&T T Telecommunication 1999-11-01 1999-11-01 (as SBC Communications)
Bank of America BAC Banking 2008-02-19 2008-02-19
Boeing BA Aerospace and defense 1987-03-12 1987-03-12
Caterpillar CAT Construction and mining equipment 1991-05-06 1991-05-06
Chevron Corporation CVX Oil & gas 2008-02-19 2008-02-19
Cisco Systems CSCO Computer networking 2009-06-08 2009-06-08
Coca-Cola KO Beverages 1987-03-12 1987-03-12
DuPont DD Chemical industry 1935-11-20 1935-11-20 (also 1924-01-22 to 1925-08-31)
ExxonMobil XOM Oil & gas 1928-10-01 1928-10-01 (as Standard Oil)
General Electric GE Conglomerate 1907-11-07 1907-11-07
Hewlett-Packard HPQ Technology 1997-03-17 1997-03-17
The Home Depot HD Home improvement retailer 1999-11-01 1999-11-01
Intel INTC Semiconductors 1999-11-01 1999-11-01
IBM IBM Computers and technology 1979-06-29 1979-06-29
Johnson & Johnson JNJ Pharmaceuticals 1997-03-17 1997-03-17
JPMorgan Chase JPM Banking 1991-05-06 1991-05-06 (as J.P. Morgan & Company)
Kraft Foods KFT Food processing 2008-09-22 2008-09-22
McDonald’s MCD Fast food 1985-10-30 1985-10-30
Merck MRK Pharmaceuticals 1979-06-29 1979-06-29
Microsoft MSFT Software 1999-11-01 1999-11-01
Pfizer PFE Pharmaceuticals 2004-04-08 2004-04-08
Procter & Gamble PG Consumer goods 1932-05-26 1932-05-26
Travelers TRV Insurance 2009-06-08 2009-06-08
United Technologies Corporation UTX Conglomerate 1939-03-14 1939-03-14 (as United Aircraft)
Verizon Communications VZ Telecommunication 2004-04-08 2004-04-08
Wal-Mart WMT Retail 1997-03-17 1997-03-17
Walt Disney DIS Broadcasting and entertainment 1991-05-06 1991-05-06

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