Have you ever heard someone talk about the “Dow Jones”?
Not sure what it is?
Can you buy some of it?
Let me explain
Bring your pen
, take some notes
, enjoy the content
(thread)

Not sure what it is?

Can you buy some of it?

Let me explain
Bring your pen


(thread)
The Dow Jones (aka “Dow”) is an index that tracks the performance of 30 large companies on the US stock exchanges
The Dow was first calculated in 1986, making it the second oldest stock market index
The market capitalization of the Dow is $8.33 Trillion
(as of Dec 2019)
The Dow was first calculated in 1986, making it the second oldest stock market index

The market capitalization of the Dow is $8.33 Trillion

Since there are only 30 companies listed on the Dow, I will pay them respect and list ALL of them
Let me know how many of these you are invested in
Sit back, and enjoy this list
Let me know how many of these you are invested in

Sit back, and enjoy this list

$MMM
$AXP
$AMGN
$AAPL
$BA
$CAT
$CVX
$CSCO
$KO
$DOW
$GS
$HD
$HON
$IBM
$INTC
$JNJ
$JPM
$MCD
$MRK
$MSFT
$NKE
$PG
$CRM
$TRV
$UNH
$VZ
$V
$WBA
$WMT
$DIS
What a list

$AXP

$AMGN

$AAPL

$BA

$CAT

$CVX

$CSCO

$KO

$DOW

$GS

$HD

$HON

$IBM

$INTC

$JNJ

$JPM

$MCD

$MRK

$MSFT

$NKE

$PG

$CRM

$TRV

$UNH

$VZ

$V

$WBA

$WMT

$DIS

What a list


Yes, you can invest into any of those companies listed above
For example, I am invested in
$MMM
$CVX
$JNJ
But, I’m not invested in
$INTC
$HON
$AMGN
However, you can also invest in index funds that mimic the Dow!

For example, I am invested in
$MMM
$CVX
$JNJ
But, I’m not invested in
$INTC
$HON
$AMGN
However, you can also invest in index funds that mimic the Dow!

Here are some index funds that mimic the Dow
$DIA
$IYY
$DDM
Of course, it is up to you what you invest in
But it is nice to know you can either invest in single stocks on the Dow
Or invest in a Dow index fund
$DIA
$IYY
$DDM
Of course, it is up to you what you invest in
But it is nice to know you can either invest in single stocks on the Dow
Or invest in a Dow index fund

Cool, you know the makeup of the Dow
But how does it do?
Well here are the numbers (as of March 2020)
20 year average return: 7.743%
10 year average return: 7.382%
5 year average return: 7.691%
1 year average return: 7.754%
7%+ YoY is a solid return!
But how does it do?

Well here are the numbers (as of March 2020)
20 year average return: 7.743%
10 year average return: 7.382%
5 year average return: 7.691%
1 year average return: 7.754%
7%+ YoY is a solid return!

If we look at YTD for 2020
The Dow is -0.77%
But from March until today, the returns have been 54.08%
Obviously the pandemic was the reason for the March dip
The Dow is -0.77%

But from March until today, the returns have been 54.08%

Obviously the pandemic was the reason for the March dip
With that being said, the Dow is a major index to look at and follow!
Remember, just because a stock is on a major index, doesn’t mean it is necessarily a good investment!
Always do you research!
(none of this thread was investing advice!)
Remember, just because a stock is on a major index, doesn’t mean it is necessarily a good investment!
Always do you research!
(none of this thread was investing advice!)
Thank you for taking the time out of your day to read this thread
!
I hope you gained new insight on another index!!
Keep grinding and keep investing!
My DMs are always open if you have any questions!
Much love!
@DecadeInvestor

I hope you gained new insight on another index!!
Keep grinding and keep investing!
My DMs are always open if you have any questions!
Much love!
@DecadeInvestor