Question

Which of the following statements are True?

1. The Wilshire 5000 is more broad based than the S&P 500.
2. The S&P 500 stock index is value-weighted.
3. The Russell 3000 is a broad-based measure of bond prices.
4. The Dow Jones industrial and utility averages include a relatively small number of stocks.

Answer 1

1, 2 and 4.

Step-by-step explanation:

The true and correct statements are;

1. The Wilshire 5000 is more broad based than the S&P 500.

2. The S&P 500 stock index is value-weighted.

4. The Dow Jones industrial and utility averages include a relatively small number of stocks.

Answer 2

Answer:2. The S&P 500 stock index is value-weighted. True

4. The Dow Jones industrial and utility averages include a relatively small number of stocks.

True

Explanation: One of the most significant differences between these two indexes is the number and type of companies included in each. As its name suggests, the S&P 500 is made up of 500 of the largest publicly traded companies, while the Dow is a collection of 30 companies that are selected to represent their respective industries.