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Agree that the Dow 30 correlate reasonably well to the larger market, but it's the price-weighting piece I have a major problem with. You have to admit that the index would be better off weighing its components based on actual market value rather than share price. Fortunately, as the scatter plot shows, the under/over representation isn't that bad, but still ridiculous for the most widely cited market index nonetheless.


That is what the S&P 500 does. No one stopping anyone from buying the individual stocks of the Dow in a market-cap weighted manner




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