S&P 500

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Logarithmic graph of the S&P 500 index with simple trend lines

Many index funds and exchange-traded funds attempt to replicate (before fees and expenses) the performance of the S&P 500 by holding the same stocks as the index, in the same proportions. Many other mutual funds are benchmarked to the S&P 500. Consequently, a company whose stock is added to the list of S&P 500 stocks may see its stock price rise, as the managers of index funds normally choose to purchase that company's stock in order to continue tracking the S&P 500 index. Some examples include Vanguard's S&P 500 Index Fund (VOO) , iShares S&P 500 ETF (IVV) and SPDR's S&P 500 ETF (SPY).

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