Standard and Poor’s

Standard and Poor’s, a division of the McGraw-Hill Companies (NYSE:MHP), provides independent financial information, analytical services, and credit ratings to the world’s financial markets. It is a US-based company which provides independent insight, analysis and information to the financial community to help determine value in the marketplace. Standard and Poor’s is a much better indicator as it represents a bigger pool of companies.

An essential part of the world’s financial infrastructure, Standard & Poor’s has played a leading role for more than 140 years in providing investors with the independent benchmarks needed to feel more confident about their financial and investment decisions. Ratings information is available to subscribers of RatingsDirect, Standard & Poor’s Web-based credit analysis system. Standard & Poor’s has a long history of creating standards for the financial industry. It has the world’s largest network of credit ratings analysts with more than 1,250 across the globe. Standard and Poor’s is the world’s leading provider of mutual fund information and analysis, covering over 51,000 funds in 52 countries.

Standard and Poor’s is known to prefer stable firms for its indices, so inclusion of a firm in the S&P 500 may be perceived as a reduction in the risk of its securities. If you invest in all 500 of these stocks you own a small piece of what makes America tick financially. Investment professionals use the S&P 500 more than any other index in the world. In other words, if you trade the S&P 500 you are certainly starting at the right place.