Indices

Indices, or stock indices, are essential financial instruments that represent the performance of a group of stocks, typically from a specific market or sector. They provide a benchmark to gauge market trends and investor sentiment. Popular examples include the S&P 500, representing 500 of the largest U.S. companies, and the FTSE 100, encompassing the 100 largest companies on the London Stock Exchange. By tracking indices, investors can gain insights into market performance and diversify their portfolios without needing to invest in individual stocks.