What is the Canadian equivalent of the S&P 500?

The S&P/TSX Composite Index is often regarded as the Canadian version of the S&P 500 in the US. It tracks over 200 of the largest companies listed on the Toronto Stock Exchange (TSX) and represents the majority of the Canadian equities market.

Does the S&P 500 pay dividends?

Some companies listed in the S&P 500, such as Verizon (VZ), Dow Inc. (DOW) and Crown Castle (CCI), issue dividend-paying stocks, which you can buy if you want to earn a stream of investment revenue. Some ETFs and mutual funds that hold shares in S&P 500 companies may also pay dividends, including the Fidelity 500 Index Fund (FXAIX) and the SPDR Portfolio S&P 500 High Dividend ETF (SPYD). You can choose to have dividends paid out to you (as a "distribution") or have dividends rolled back in to your fund (known as "accumulation").

How can beginners invest in the S&P 500?

One of the best ways for beginners to invest in the S&P 500 in Canada is by buying shares of a cheap, passive ETF or index fund that tracks the index's performance. This is affordable and simple and saves you the trouble of hand-picking the best S&P 500 stocks to buy.