The Dow Jones EURO STOXX 50

The Dow Jones Euro Stoxx 50 index is a euro currency index that is weighted by market capitalization of the stocks. It is comprised of the largest 40 euro currency stocks and the previous index stocks that may not be as big in market capitalization. All the stocks in the index have to be using the euro currency so any U.K. companies are not included in this index.

Dow Jones keeps an index on the major industries and sectors for the euro currency companies to select from. Every quarter the index is refreshed to reflect all the correct market weightings from the companies. And every year the index is refreshed with the top 50 euro companies.

In addition, the index is licensed to financial companies to be made an exchange traded fund and for futures and options. This increases the tradability of the actual index itself. If you plan on trading the index, you will want to look at the Euro Stoxx 50 index guide. That way an investor can be sure of what he or she is investing in. Similar to a prospectus of a mutual fund, the guide will expose the sector weightings and actual components with all the statistics.

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