S&P DEPOSITORY RECEIPTS $131 (American Exchange symbol SPY; buy or sell through brokers) are commonly called ‘Spiders’. The fund holds the stocks in the S&P 500 Index. This index is comprised of 500 major U.S. stocks chosen for market size, liquidity, and industry group representation. The 10 highest weighted stocks on the index are General Electric, Exxon Mobil, Bank of America, Citigroup, Microsoft, Johnson & Johnson, Intel Corporation, Wal-Mart, IBM and Pfizer. Expenses for the fund are just 0.10% of assets.
If you want exposure to the S&P 500 Index, S&P Depository Receipts are a buy.