How to invest in the Dow Jones

Here's what you need to know about trading or investing in the largest stock index in the US.

Fact checked
Dow Jones board
Hargreaves Lansdown Hargreaves Lansdown

Best for beginners (Capital at risk)

IG IG

Best for US shares (Capital at risk)

eToro eToro

Best for social trading (Capital at risk)

Interactive Investor Interactive Investor

Best for online platform (Capital at risk)

Can I invest in the Dow Jones in the UK?

Yes, there are a couple of ways to trade or invest in the Dow Jones from the UK. While you can’t buy shares directly in the Dow Jones, you can invest in an exchange traded fund (ETF) or index fund that tracks the performance of the 30 stocks in the Dow Jones Industrial Average index. You can also buy shares in the individual companies listed on the Dow Jones index, but this can be an expensive and time-consuming way to invest.

How to invest in the Dow Jones

  1. Choose an index fund or ETF that tracks the Dow. Some index funds track the performance of all 30 Dow stocks, whereas others only track a certain number of stocks or are weighted more towards specific stocks. You should select the fund that best suits your investment goals.
  2. Open a share-trading account. Once you’ve selected the fund you’d like to buy, you’ll need to open a trading account with a broker or platform that offers it. Different brokers have different fee structures, so it’s worth researching which platform best suits your needs before investing. You can compare trading platforms below.
  3. Deposit funds. Once you’ve set up an account, you’ll need to deposit funds. Depending on which broker you use, you may need to pay a forex fee when you deposit money.
  4. Buy the index fund. Once your account is set up and funded, you can buy the Dow Jones index fund. You generally pay a small annual fee in order to invest in an index fund or ETF.

How does the Dow Jones work?

The Dow Jones Industrial Average (DJIA), also known as the Dow, is a stock market index that tracks the stock performance of 30 of the largest companies on US stock exchanges. It’s not weighted by market capitalisation and does not use a weighted arithmetic mean. It is maintained by S&P Dow Jones Indices and is the second-oldest US market index.

Should I invest in the Dow Jones?

The Dow is an index of 30 of the largest and most successful companies on US stock exchanges. Between 2009 and 2019, the Dow gained over 21,000 points, an increase of around 260%. However, like most stock indexes, the Dow suffered heavy losses as a result of the coronavirus pandemic, but historically it has been a sensible investment option.

Dow Jones ETFs

  • SPDR Dow Jones Industrial Average ETF (DIA)
  • iShares Dow Jones US ETF (IYY)
  • ProShares Ultra Dow30 (DDM)
  • ProShares UltraPro Dow30 (UDOW)
  • ELEMENTS Dogs of the Dow (DOD)

Investing in Dow Jones stocks

The alternative way to invest in the Dow Jones is to buy stocks in the listed companies directly. You could choose to buy one share in each of the 30 companies in the Dow or select a few stocks to buy.

However, while this method gives you direct exposure to the companies in the Dow Jones, it’s likely to be an expensive way to invest. Many of the stocks in the Dow are worth hundreds of US dollars, so if you wanted to buy at least one stock in each company, you’d be looking at investing significant money.

Depending on which broker or trading platform you use, you may also be charged for each individual stock you buy, and these trading fees can often wipe out any potential profit you make. In comparison, you only pay a small annual fee when you buy an ETF, but your investment will still be tied to the performance of the Dow.

You can also trade the Dow Jones via derivatives such as futures contracts, which let you predict how the index will perform over a certain period.

Dow Jones (DJIA) live price

What companies are in the Dow Jones (DJIA)?

CompanyExchangeStock codeIndustry
3MNYSENYSE: MMMConglomerate
American ExpressNYSENYSE: AXPFinancial services
Apple Inc.NASDAQAAPLInformation technology
BoeingNYSENYSE: BAAerospace and arms
Caterpillar Inc.NYSENYSE: CATConstruction/Mining
Chevron CorporationNYSENYSE: CVXPetroleum industry
Cisco SystemsNASDAQCSCOInformation technology
The Coca-Cola CompanyNYSENYSE: KOFood industry
Dow Inc.NYSENYSE: DOWChemical industry
ExxonMobilNYSENYSE: XOMPetroleum industry
Goldman SachsNYSENYSE: GSFinancial services
The Home DepotNYSENYSE: HDRetailing
IBMNYSENYSE: IBMInformation technology
IntelNASDAQINTCInformation technology
Johnson & JohnsonNYSENYSE: JNJPharmaceuticals
JPMorgan ChaseNYSENYSE: JPMFinancial services
McDonald’sNYSENYSE: MCDFood industry
Merck & Co.NYSENYSE: MRKPharmaceuticals
MicrosoftNASDAQMSFTInformation technology
NikeNYSENYSE: NKEApparel
PfizerNYSENYSE: PFEPharmaceuticals
Procter & GambleNYSENYSE: PGConsumer
The Travelers CompaniesNYSENYSE: TRVFinancial services
UnitedHealth GroupNYSENYSE: UNHManaged health care
United TechnologiesNYSENYSE: UTXConglomerate
VerizonNYSENYSE: VZTelecommunication
Visa Inc.NYSENYSE: VFinancial services
WalmartNYSENYSE: WMTRetailing
Walgreens Boots AllianceNASDAQWBARetailing
The Walt Disney CompanyNYSENYSE: DISBroadcasting/entertainment

Compare platforms for trading the Dow Jones

Table: sorted by promoted deals first
Data indicated here is updated regularly
Name Product Price per trade Frequent trader rate Platform fees Brand description
Fineco
Fineco
£2.95
£2.95
Zero platform fee
Fineco Bank is good for share traders and investors looking for a complete platform and wide offer. Your first 50 trades are free with Fineco, until 30/09/2020. T&Cs apply. Capital at risk.
IG
0% commission on US shares, and £3 on UK shares
From £5
£0 - £24 per quarter
IG is good for experienced traders, and offers learning resources for beginners, all with wide access to shares, ETFs and funds. Capital at risk.
Hargreaves Lansdown Fund & Share Account
£11.95
£5.95
Transfer out fee
Hargreaves Lansdown is the UK's biggest wealth manager, with the depth of features you'd expect from an established platform. Capital at risk.
eToro Free Stocks
0% commission, no markup, no ticket fee, no management fee
N/A
Withdrawal fee & GDP to USD deposit conversion
eToro is good for social trading - letting you mirror the portfolios of other traders. Capital at risk. 0% commission but other fees may apply.
Interactive Investor
From £7.99 on the Investor Service Plan
From £7.99 on the Investor Service Plan
No transfer fees or exit fees. £9.99 a month on the Investor Service Plan
Capital at risk.
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Compare up to 4 providers

Data indicated here is updated regularly
Name Product Minimum deposit Maximum annual fee Price per trade Brand description
Hargreaves Lansdown stocks and shares ISA
£100
0.45%
£11.95
Hargreaves Lansdown is the UK's biggest wealth manager. It's got everything you'll need, from beginners to experienced investors. Capital at risk.
Interactive Investor stocks and shares ISA
£100 or £25 a month
£119.88
£7.99
Interactive Investor offers everything most investors need. Its flat fees makes it pricey for small portfolios, but cheap for big ones. Capital at risk.
Legal & General stocks and shares ISA
Legal & General stocks and shares ISA
£100 or £20 a month
0.61%
N/A
Legal & General is a big financial services company which offers insurance, lifetime mortgage, pensions and stocks and shares ISAs. Capital at risk.
Saxo Markets stocks and shares ISA
No minimum deposit requirement
0.12%
£8.00
Saxo Markets offers a wide access to a range of stocks, ETFs and funds. Capital at risk.
AJ Bell stocks and shares ISA
£500
0.25%
£9.95
AJ Bell is a good all-rounder for people who to choose between shares, funds, ISAs and pensions. Capital at risk.
Fidelity stocks and shares ISA
£1000 or a regular savings plan from £50
0.35%
£10.00
Fidelity is another good all-rounder, offering a good package at a decent price. Not suited for trading shares. Capital at risk.
Moneybox stocks and shares ISA
Moneybox stocks and shares ISA
£1
0.45%
Fixed subscripction fee of £1 per month
Moneybox offers a general investment account, Lifetime ISA and Junior ISA and lets you manage your money with an easy-to-use app. Capital at risk.
Nutmeg stocks and shares ISA
£100
0.75%
£0
Nutmeg offers three types of portfolios. Choose the one that goes with your investment style. Capital at risk.
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Compare up to 4 providers

Data indicated here is updated regularly
Name Product Minimum investment Choose from Annual fee Brand description
PensionBee Pension
No minimum
7 funds
0.5% - 0.95%
Pension Bee is a newbie in the pension market. It helps consolidate your pension plans into one place. Capital at risk.
Hargreaves Lansdown Pension
£100
2,500 funds
0-0.45%
Hargreaves Lansdown is the UK's biggest wealth manager. It's got three different retirement options. Capital at risk.
Interactive Investor Pension
£25/month
Over 2,500 funds
£10/month
interactive investor is a flat-fee platform, which makes it cost effective for larger portfolios. Capital at risk.
Saxo Markets Pension
Saxo Markets Pension
£10
Over 11,000 funds
No annual fee
Saxo Markets gives flexibility and control over your investment strategy. Capital at risk.
AJ Bell Pension
£1,000
Over 2,000 funds
0.05-0.25%
AJ Bell has two different pension options, a self managed pension and one that is managed for you. Capital at risk.
Moneybox Pension
£1
3 funds
0.15% - 0.45% charged monthly
Manage your money with an easy-to-use Moneybox app. Capital at risk.
Moneyfarm Pension
Moneyfarm Pension
0.35%-0.75%
7 funds
£1,500 (initial investment)
Moneyfarm has pensions that are matched against your risk appetite, goals and planned retirement date. Capital at risk.
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Compare up to 4 providers

All investing should be regarded as longer term. The value of your investments can go up and down, and you may get back less than you invest. Capital is at risk.

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