S&P 500 price on freetrade vs others

#1

I have what I assume will be a dumb question.

S&P 500 is around 41 quid on Freetrade but $2,907.41 on the stock exchange.

Just wondering why the difference?

Thanks!

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(Emma (#20 😎)) #2

I think you might be asking this

The S&P 500 you can invest in is a bundled together divided version of all the companies that make up the exchange

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(Vladislav Kozub) #3

How do you even dig these things out? :face_with_monocle: I simply admire

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(Emma (#20 😎)) #4

I remembered the rice charts from that thread :grin:

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#5

When you buy the Vanguard S&P 500 ETF for around £41, you’re buying a small piece of a fund which has a stake in every company listed on the S&P 500. So indirectly you own a piece of all of those companies.

The total pool of assets in that fund is $22.4bn, and you’re buying a fraction of that.

The 2907 number isn’t a dollar figure. It’s an index, and it’s the number you’ll here on the news when they say ‘the FTSE is up 2 points today’.

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#6

Very well put for a simpleton invester. Thank you, John.

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