Dow 30


DEFINITION of 'Dow 30'

Commonly referred to as just the "Dow," the Dow 30 was created by Wall Street Journal editor Charles Dow and got its name from Dow and his business partner Edward Jones. The index was developed as a simple means of tracking U.S. market performance in an age when information flow was often limited.

Also known as the "Dow Jones Industrial Average".


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A spin-off of the Dow Jones Transportation Average, consisting primarily of railroad issues in the early years, the Dow expanded to 30 stocks in 1928, where it remains today. The composition of the index changes regularly, as stocks and the industries it represents fall in and out of favor.

  1. Index

    A statistical measure of change in an economy or a securities ...
  2. Broad-Based Index

    An index designed to reflect the movement of the entire market. ...
  3. Dow Jones Industrial Average - ...

    The Dow Jones Industrial Average is a price-weighted average ...
  4. Theoretical Dow Jones Index

    A method of calculating a Dow Jones index (most often the DJIA) ...
  5. Dow Jones Transportation Average ...

    A price-weighted average of 20 transportation stocks traded in ...
  6. Dow Divisor

    A numerical value computed by Dow Jones Indexes that is used ...
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