No matter if you're a novice investor or a seasoned one, you need to know one thing – the Dow Jones today is comprized of 30 stocks of big publicly traded companies, and it is not worth investing in.
Now that we got the controversial information behind us, here's an explanation. The Dow Jones today does not have more than average results at best – why, it is an average of the industry! However, the problem is that it is an average of only 30 companies, and there before it is not a good view of the market.
Do not get me wrong, the Dow Jones today is not a bad index if you want to track the general movement of the market. It is not a good idea, however, to invest in it. You might be arguing that your friends invest in it. Well, ask you friends about their true investment returns, if they are willing to tell you the truth!
A lot of investment companies invest in the Dow Jones today. Some mutual funds do. However, they do that because they are diversified. Without you have a lot of money to become diversified, I would recommend that you take some time and study about stocks, and the pick your own.
There are a few services that do all the hard research for you, and put in a lot of time to select the best stocks. If you want to learn more, Google is your friend 🙂 I have found a few legitimate websites that give you honest and real stock advice and can make you a nice amount of money, so know this – websites like that exist!
One last thing I would recommend – do not look at just the Dow Jones index, take a look at NASDAQ Composite, S & P 500, and the Russell 2000. Together they can bring you a better view of the current market. And do not get discouraged by the amount of information that you have to go through – be persistent and you will succeed!