Major US Equity indexes The Waiting methodology has a significant impact on the overall performance of an index. For example, the S&P 500 and the Dow Jones Industrial Average also known as the Dow are often used to describe the performance of the US Stock Market. However, they are constructed in very different ways. The S&P 500 is constructed on a market cap weighted basis with a free float adjustment and the Dow is calculated on a price rated basis. The Dow is also comprised of only 30 stocks compared to the 500 stocks of the S&P. In addition the Dow also tends to only have one company from each major industry or sector. While the S&P 500 sector weights can be very different. In January 2021 the S&P 500 was skewed towards technology stocks since there are a number of strongly performing tech stocks in the US market taking four of the top five places in the index an accounting for 17.9% of the index. In the Dow the top five stocks were from a range of different industry types. Also United Health Goldman Sachs and Home Depot dominate the performance of the Dow despite not being the largest three companies in the US Equity Market. Their High waiting is due to these companies having a relatively high price per share. Although the media frequently quotes the Dow's movements investors typically consider the S&P 500 as more representative of broad US market. The S&P 500 is a more Diversified index and many more funds track this index than the Dow.