What is the Wilshire 5000?
The Wilshire 5000 is an index composed of all stocks actively traded in the US. It was originally made up of 5,000 stocks, but the total fluctuates depending on the number of companies listed on the major exchanges.
Often called the 'total stock market index', it’s one of the broadest indices around.
Where have you heard about the Wilshire 5000?
Although the Wilshire 5000 index isn’t as well-known as others in the US, it’s actually one of the largest indices by market value in the world. It's a comprehensive indicator of the overall performance of the American markets.
What you need to know about the Wilshire 5000.
To be included in the Wilshire 5000, a company has to meet certain criteria. It must have its headquarters in the US, trade on an American stock exchange and make pricing information widely available to the public.
The Wilshire 5000 is market cap weighted, which means larger companies have more influence over the index's movements.
The index was established by the Wilshire Associates in 1974. It was renamed the Dow Jones Wilshire index in 2004, but the partnership with the Dow Jones ended in 2009.