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What is the S&P 500?

Posted on January 31, 2022January 28, 2022 By Kelly Donner 26 Comments on What is the S&P 500?

The S&P 500 is an index that's compiled of the 500 biggest stocks there are in the market place. People use it as a measure of how well the stock market is doing in general. Watch this video and learn my thoughts on S&P 500.

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S&P 500 Index Tags:Analysis, Business (EP), Economics (Field Of Study), Economy, Finance, futures, investment, Market, options, Phil Town (Author), Rule #1, S&P 500 Index, stock, Stock market, Stocks, trading

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Comments (26) on “What is the S&P 500?”

  1. Donovan Lee says:
    July 21, 2016 at 2:44 pm

    Phil looks a lot more tanned in this video than he does in his profile pic. Can’t trust him.

    1. Yunuenn Mancilla says:
      March 3, 2021 at 9:38 am

      You know how hard/expensive it is to keep a tan and to get one? of course I am trusting him about my finance.

  2. Leonardo Reyes says:
    November 15, 2016 at 9:39 pm

    Ok now I get it.

    1. samuel says:
      May 26, 2017 at 9:59 am

      LMFAO

  3. Shiro Malamute says:
    June 17, 2017 at 3:35 pm

    You can make a lot of profit with the S&P intraday by following the volume.

  4. S M says:
    June 22, 2017 at 12:06 pm

    THANKS Phil 🙂 truly good/concise video.

  5. Brutally Honest says:
    September 27, 2017 at 4:30 am

    What he probably fails to mention is that a handful of biggest monopolies make up the top 10% of the SP500. It may be 500 stocks total, but only a handful of maybe 6 stocks make up 10%(stocks like APPLE), it’s not equally diversified. If it were equally diversified with 500 stocks, then 50 stocks would make up 10% of the S&P500.(Standard and Poors)

    So it doesn’t actually measure how the stock market is generally doing, it measures what the best most dominating stocks are doing, which creates an illusion that the market is doing better than it actually is.

    1. Burns Smith says:
      January 1, 2019 at 9:09 am

      I think this video was more for people without the level of knowledge you have. I enjoyed reading your comment, It was a great summary of what could have been added into the video notes.

    2. gavin .l says:
      September 17, 2019 at 7:32 pm

      Brutally Honest your name is accurate

  6. Jonathan Leaders says:
    October 7, 2017 at 4:06 pm

    I really wish you defined “Biggest” as in regards to S&P 500 “biggest” stocks

    By trading volume? By Price? By Number of stocks? By earnings? By what measure is “biggest”?

    1. C hris says:
      December 14, 2017 at 1:22 pm

      probably trading volume * price

  7. carter says:
    May 4, 2018 at 8:59 am

    your financial education is inspire me and i learn alot from you. Thank for making a difference to others. Question, you have mention investing in etf & stocks….what do you think invest in equity crowdfunding?
    Thank you Phil

  8. Patel Vidhu says:
    October 8, 2018 at 9:27 pm

    S and P 500 index is good way to judge market direction. If S and P 500 down most investors will lose money. Some will lose less and some will lose more.

  9. Vanport Capital says:
    October 31, 2018 at 11:39 am

    Nice video. Well done.

  10. Smruti Dash says:
    January 13, 2019 at 1:46 am

    Absolute return only 🙂

  11. G. Wiz says:
    February 24, 2019 at 12:16 pm

    U should grow out that mustache.

  12. InvestOrama says:
    February 26, 2019 at 5:12 pm

    Indexing is not that straightforward, it’s a good idea to dive deeper in the s&p 500

  13. Mohamed Ezawi says:
    April 8, 2019 at 2:08 am

    What does S & P stand for?

    1. Phil Town's Rule #1 Investing says:
      April 9, 2019 at 5:03 pm

      The S&P 500 or Standard & Poor’s 500 Index is a market-capitalization-weighted index of the 500 largest U.S. publicly traded companies.

  14. Edwin Bonilla says:
    May 18, 2019 at 11:00 am

    A guy somewhere gets a raise for losing you 35% of you money… Think about it.

  15. Panic Attack Recovery says:
    June 22, 2019 at 3:43 pm

    Great explanation of the S&P 500.

  16. J_misinterpreted_Relephant says:
    August 12, 2019 at 8:25 am

    I want to invest soley on the s&p500 for the next 5 years at 5500 per year but i dont know if itll be a good investment considering all the debt and inflation? Should i open it then just buy during dips until it reaches the bottoms.. Will the economy bounce back soon?

    1. El Ka says:
      February 18, 2021 at 8:30 am

      Buy and dont stop

  17. Tizonwar8 says:
    September 14, 2019 at 8:11 am

    I have been following Phil Town for over a year now on his videos, gotta say I finally found the investor who I can relate to. Not gonna be arrogant to say that I think on the same wavelength as him, but I had very similar thoughts to him, but since no one else out there think like me, I have always thought that may be I am wrong. I have the same thoughts about fund managers wanting a bonus if they lose less than the market fall average, which is ridiculous. If only they sold your shares even 2 years prior to the business cycle fall, and parked your money in cash to earn some humble interest, you would have been in a very good shape to cash in on heavily discounted shares deep in recession and make an absolute killing gains 5 years later.

    In hind sight of fallowing closely to the share market in the last 10 years, 99% of stock experts are liars who just want you to buy/sell for their bonus. Phil Town’s investment principals seem to make sense so far.

  18. Diontae Daughtry says:
    September 25, 2019 at 12:27 am

    Fantastic

  19. Un Usuario says:
    December 28, 2019 at 11:49 am

    Follow-up questions: what’s absolute return and some examples of it?

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