What is the Dow Jones Industrial Index (DJIA)?

dow-jones-industrial-index-djiaCommonly referred to as the “Dow” or Dow Industrials” this stock index tracks the performance of 30 large companies in a variety of industries, including telecommunications, retail & consumer goods.

It was first created in 1896 by Dow Jones & Company, the publisher of the Wall Street Journal.

The individual stocks that make up the index rarely change, but they can and do change based on the parameters of the Index and changes in the companies represented.

To be included, a company must be a leader in its industry, publically traded and held by both individual and institutional investors.

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