Nasdaq Composite Index

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DEFINITION of 'Nasdaq Composite Index'

A market-capitalization weighted index of the more than 3,000 common equities listed on the Nasdaq stock exchange. The types of securities in the index include American depositary receipts, common stocks, real estate investment trusts (REITs) and tracking stocks. The index includes all Nasdaq listed stocks that are not derivatives, preferred shares, funds, exchange-traded funds (ETFs) or debentures.

INVESTOPEDIA EXPLAINS 'Nasdaq Composite Index'

Unlike other market indexes, the Nasdaq composite is not limited to companies that have U.S. headquarters. It is very common to hear the closing price of the Nasdaq Composite Index reported in the financial press, or as part of the evening news.

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RELATED FAQS
  1. What are the most common market indicators to follow the U.S stock market and economy?

    The key indicators for U.S. stocks are the Dow Jones Industrial Average (DJIA), the S&P 500 Index, and the Nasdaq Composite ... Read Full Answer >>
  2. Is the Dow Jones a stock exchange?

    The Dow Jones Industrial Average is not a stock exchange, although it tracks stocks that are traded on the Nasdaq and the ... Read Full Answer >>
  3. How do you compare the Dow Jones Industrial Average (DJIA) and the Nasdaq?

    The Dow Jones Industrial Average is an index comprised of 30 large, publicly traded U.S. companies that is followed by investors ... Read Full Answer >>
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