Ask a Fool: What is the Dow Jones Industrial Average?

In the spirit of better investing, and in celebration of the first annual Worldwide Invest Better Day (WWIBD) coming up on September 25, Motley Fool analysts will be answering user- and reader-submitted questions leading up to the big event. "Ask a Fool" anything, and we'll do our best to help you invest better.

The Dow Jones Industrial Average is a 30-component grouping of stocks meant to be a gauge for how the overall market is doing. It represents stocks across all sectors and includes some of the world's most influential and established companies, like Bank of America (NYSE: BAC  ) , Wal-Mart (NYSE: WMS  )  and Procter & Gamble (NYSE: PG  ) . In the following video, Fool.com analyst Austin Smith goes over everything that investors need to know about this index.

 

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Austin Smith owns shares of McDonald's. The Motley Fool owns shares of Bank of America, Google, and McDonald's. Motley Fool newsletter services recommend Google, McDonald's, and The Procter & Gamble Company. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.


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