how do you invest in the s p 500 
the simplest way to invest in the s p 500 index or any other stock market index is to buy shares of an index fund that targets it these funds invest in a cross section of the companies represented on the index so the fund s performance should mirror the performance of the index itself the bottom linethe s p 500 index is one of the most widely used indexes for the u s stock market these 500 companies represent the largest and most liquid companies in the u s from technology and software companies to banks and manufacturers the index has historically been used to provide insight into the direction of the stock market it was created by a private company but the s p 500 is a popular yardstick for the performance of the market economy at large 