2007-01-03 07:08:11 · 1 answers · asked by invester 1 in Business & Finance ➔ Investing
Some indexes are merely informative. They tally up all of the things common to their formula or sector or group and give the statistics of the bunch. If I go to marketwatch for research on an industry, there are piles of industries to search through, each one representing piles of companies with something in common, but rarely will I find a stock symbol for that listing. If I go to powershares or ishares, both makers of exchange traded funds, or any of a variety of mutual funds that actually hold the stocks of an index, that is different. Reading the Dow Jones Industrial average on the news is a non-investable index, buying DIA the American Stock Exchange's ETF for the Dow Jones Industrials, that is investable, because I'm buying all the stocks that are on the index.
2007-01-03 07:32:13 · answer #1 · answered by Rabbit 7 · 0⤊ 0⤋