Buying the index

Buying the index

Purchasing the stocks in the S&P 500 in the same proportion as the index to achieve the same return.

Buying the Index

The act of buying all stocks tracked in the S&P 500 in proportion to their representation in that index. One buys the index when one wants to achieve the same return as the S&P 500 itself. The S&P 500 is the index used for this because it is considered an indicator of the state of the broader economy.
References in periodicals archive ?
However, with the emergence of widespread buying the index surged to day's high of 28,298.
1550 points is the target of decline within subwave ([4]), where we recommend buying the index.
What the current market situation has done though is to make the market a stocks market again where stock selection becomes key rather than buying the index as our Shareleague demonstrated again last year.