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FAQ
What Exactly Is a Stock Market Index?
A stock market index is a statistical benchmark that tracks the performance of a selected group of stocks or financial assets. It represents the overall movement of a particular market segment or economy. Indices are created by selecting a basket of stocks based on specific criteria such as market capitalization, industry, or geographic region. These indices help traders and investors assess market trends, gauge economic health, and compare portfolio performance against the broader market. Instead of purchasing individual stocks, traders can speculate on an entire market segment by trading indices, making them a valuable tool for portfolio diversification and risk management.
Why Are There So Many Different Indices?
What Are Some Famous Stock Market Indices?
How Does Trading Indices Work?
What Is the S&P 500?
What Are the Benefits of Trading Indices?