What is the difference between the Dow Jones Industrial Average, the S&P Index and the New York Stock Exchange?

In the United Sates two major stock exchanges include NASDAQ and New York Stock Exchange. Till recently, trading in the New York Stock Exchange has been carried out on the trading floor; however, it too has started to trade electronically. The requirements for listing New York Stock Exchange is tougher compared to others. Usually, New York Stock Exchange has big companies in its list. The Dow Jones Industrial Average refers to an index which represents 30 industrial stocks. On any particular day, one stock in Dow Jones might be up, whereas another may be down. The S&P Index is a superior overall market index which is used to see the performance of broader market. Many companies have fallen into bankruptcy while attempting to trade in this market.

The New York Stock Exchange is a type of auction market that was once traded in totally by specialists and brokers in the floor of New York Stock Exchange in downtown New York. Those companies who want to go to an IPO stage must meet a particular norm dictated by different exchanges. The New York Stock Exchange has exceptionally high criteria. Dow Jones is an index of only 30 stocks; not all are traded on the New York Stock Exchange. So Dow Jones Industrial Average is not a very good representation of a particular exchange. The S&P Index forms part of S&P Global 1200 and S&P 1500 stock market indices. The S&P 500, after the Dow Jones Industrial Average, is the most broadly watched index of US stocks. In 2007 the losses on the stock market are very real. There is a moral hazard that occurs and when you make investments on the stock market you must ensure that you place only a small percentage of your investment capital or you can be spiraled into a bankrupt scenario. Not only individuals are at risk, corporations are also at great risk and the bail outs by the FEDERAL RESERVE and then there is the eventuality of the liquidity trap.

However if you are caught in a spiral copmaines such as IVA.net leaders for Individual Voluntary Arrangements or voluntary debt release programs. These are one way to explore the issue of debt management and bankruptcy.


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