The Top (and Only) Dow Jones Industrial Average ETF (2024)

FAQs

The Top (and Only) Dow Jones Industrial Average ETF? ›

Key Takeaways. The SPDR Dow Jones Industrial Average ETF Trust (DIA) is the top (and only) exchange-traded fund tracking the Dow.

The Daily Dow Jones Internet Bull and Bear 3X Shares seek daily investment results, before fees and expenses, of 300%, or 300% of the inverse (or opposite), of the performance of the Dow Jones Internet Composite Index.

Vanguard - Prospectus and reports. Online is the quickest, easiest, and most cost-effective way to transact with Vanguard. Lower costs may mean we can pass more savings on to you. SPDR® Dow Jones Industrial Average ETF Trust is offered by prospectus only.

The Dow Jones Industrial Average (The Dow or DJIA) and the S&P 500 are quintessential market benchmarks. Both underlie a number of investment products, are published by S&P Dow Jones Indices, and track the stocks of large U.S. companies.

ETFs in Focus

Apart from DJD, investors can keep a tab on ALPS Sector Dividend Dogs ETF SDOG and SPDR Portfolio S&P 500 High Dividend ETF SPYD. While DJD yields 4.37%, SPYD and SDOG yield 4.72% and 4.14% annually.

The SPDR Dow Jones Industrial Average ETF Trust (DIA) is the top (and only) exchange-traded fund tracking the Dow. The Dow, a price-weighted index composed of 30 blue-chip stocks, is up 3% in the last year. DIA's top holdings are UnitedHealth Group Inc., Goldman Sachs Group Inc., and Home Depot Inc.

What Does It Mean When an ETF Is Leveraged 3x? An ETF that is leveraged 3x seeks to return three times the return of the index or other benchmark that it tracks. A 3x S&P 500 index ETF, for instance, would return +3% if the S&P rose by 1%.

The Dow tracks 30 large U.S. companies but has limited representation. The Nasdaq indexes, associated with the Nasdaq exchange, focus more heavily on tech and other stocks. The S&P 500, with 500 large U.S. companies, offers a more comprehensive market view, weighted by market capitalization.

How to invest in the Dow Jones Industrial Average? ›

Can you buy Dow Jones stock? You can't buy stock in the Dow Jones Industrial Average itself, but you can get exposure to the Dow and the companies included in the index. Your investment options include: Buy shares of all 30 companies included in the Dow Jones Industrial Average.

Still, the Vanguard Dividend Appreciation ETF has outpaced its peers by a wide margin after gaining 170% in the past decade. That's as compared to the worst-performing dividend ETF, the Vanguard International High Dividend Yield fund, with its 85% return in 10 years .

The Invesco Dow Jones Industrial Average Dividend ETF (Fund) is based on the Dow Jones Industrial Average Yield Weighted (Index). The Fund will invest at least 90% of its total assets in common stocks that comprise the Index.

If you want to capture gains of a broad swath of the market, then the S&P 500 is your best bet. However, if you are interested in a safe strategy that mirrors price movements of well-established blue-chip stocks, then the Dow is a good choice.

It was created by Charles Dow, co-founder of both The Wall Street Journal and the Dow Jones & Company, and named after him and his business associate, statistician Edward Jones. The index is maintained by S&P Dow Jones Indices, an entity majority-owned by S&P Global.

However, its bankruptcy following the financial crisis led to its removal. Since then, the Dow has gone more than a decade without representation from the auto industry. Many investors note that Tesla's potential goes well beyond its vehicle manufacturing. For now, though, Tesla is squarely focused on cars and trucks.

Since the Dow Jones is simply a measure of its underlying stocks' performance, you can't invest in it directly—instead, you can invest with an index fund either through a mutual fund or an ETF that strives to match the performance of the market index.

VOO - Volatility Comparison. The current volatility for SPDR Dow Jones Industrial Average ETF (DIA) is 3.22%, while Vanguard S&P 500 ETF (VOO) has a volatility of 3.98%. This indicates that DIA experiences smaller price fluctuations and is considered to be less risky than VOO based on this measure.