How to invest in the Dow Jones
Important information: Investing for 5+ years increases your chances of positive returns compared to cash savings. But, investments and any income they produce fall as well as rise in value, so you could get back less than you put in. You should understand what you’re investing in, specific risks, and make sure any investments you own are held as part of a diversified portfolio. You can learn about investing essentials before getting started. Tax rules can change, and benefits depend on your circumstances. If you’re not sure if an investment is right for you, please seek financial advice.
What is the Dow Jones?
The Dow Jones is a stock market index that tracks the performance of 30 prominent companies listed on stock exchanges in the United States.
The index was created by financial journalists Charles Dow and Edward Jones in 1896, making it one of the oldest market indices in the world.
It’s sometimes known as the Dow Jones Industrial Average (DJIA), or simply ‘the Dow’.
Investing in the Dow Jones isn’t right for everyone. You should only invest if the investment's objectives are aligned with your own, and there’s a specific need for the type of investment being made. Investors should understand the specific risks before you invest, and make sure any new investment forms part of a diversified portfolio.
New to investing?
Once you've decided investing is right for you, here's how you can get started:
Open an account and add cash
You can choose from various account types, such as a Stocks and Shares ISA, a Self-Invested Personal Pension (SIPP), or a Fund and Share account. You can then add cash via bank transfer or debit card through our app or on our website.
Choose your investment
You can invest in the Dow Jones by purchasing individual shares of companies within the index or by investing in a Dow Jones index fund or exchange-traded fund (ETF). Funds can be a great way to get started in investing, as day-to-day investment decisions are taken care of by a professional fund manager.
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Review your investments
After making your investment into the Dow Jones, you can monitor its performance through your account. Review your investment portfolio and adjust it as needed, depending on your goals and attitude to risk as these can change over time.
How to invest in the Dow Jones
Investing in the Dow Jones can be a good way to gain exposure to some of the largest and most influential companies in the US.
| Dow Jones tracker funds | Dow Jones shares | Dow Jones ETFs | |
|---|---|---|---|
| When can I buy and sell? | Trades can be placed online at any time, but confirmation is at the valuation point, which is once per day. The cut-off for same-day valuation is 9:00 AM. Transactions may be processed at the end of the trading day. |
The US market is open from 9:30am to 4pm ET (Eastern Time), Monday to Friday. Please note before you can trade US shares, you must complete and return a W-8BEN form. |
HL offers ETFs that track US indices but are listed in the UK. The UK market is is open 8am to 4:30pm Monday to Friday. |
| Costs |
No HL dealing charge for funds. Fund managers charge a management charge which you'll need to factor into the cost. HL account charge of up to 0.45% per year on the value of investments. |
Online dealing charge between £5.95 and £11.95. HL account charge of up to 0.45% per year on the value of investments. Capped at £45 for ISAs and £200 for SIPPs. No account charge to hold shares or ETFs in a Fund and Share Account. You’ll pay a foreign exchange (FX) charge on US shares. |
Online dealing charge between £5.95 and £11.95. HL account charge of up to 0.45% per year on the value of investments. Capped at £45 for ISAs and £200 for SIPPs. No account charge to hold ETFs in a Fund and Share Account. ETFs have their own management charges. You may have to pay a foreign exchange (FX) charge on some US ETFs. |
Dow Jones tracker funds
- Trades can be placed online at any time, but confirmation is at the valuation point, which is once per day. The cut-off for same-day valuation is 9:00 AM. Transactions may be processed at the end of the trading day.
- No HL dealing charge for funds.
- Fund managers charge a management charge which you'll need to factor into the cost.
- HL account charge of up to 0.45% per year on the value of investments. Learn more about charges
Dow Jones shares
- The US market is open from 9:30am to 4pm ET (Eastern Time), Monday to Friday.
- Please note before you can trade US shares, you must complete and return a W-8BEN form.
- Online dealing charge between £5.95 and £11.95.
- HL account charge of up to 0.45% per year on the value of investments. Capped at £45 for ISAs and £200 for SIPPs. No account charge to hold shares or ETFs in a Fund and Share Account.
- ETFs have their own management charges.
- You’ll pay a foreign exchange (FX) charge on US shares and may have to pay them on some US ETFs. Learn more about charges
Dow Jones ETFs
- HL offers ETFs that track US indices but are listed in the UK.
- The UK market is is open 8am to 4:30pm Monday to Friday.
- Online dealing charge between £5.95 and £11.95.
- HL account charge of up to 0.45% per year on the value of investments. Capped at £45 for ISAs and £200 for SIPPs. No account charge to hold ETFs in a Fund and Share Account.
- ETFs have their own management charges. You may have to pay a foreign exchange (FX) charge on some US ETFs. Learn more about charges
How the Dow Jones works
Unlike most modern indices, the Dow Jones is price-weighted, and not weighted by market capitalisation. This means it is the companies with the highest share prices that have the most influence on the index's performance, regardless of how big they are.
The index is updated continuously during US trading hours, as stock prices go up and down.
The companies the index tracks are chosen by the S&P Dow Jones Indices committee and changes are rare. The Dow Jones is updated when a company no longer reflects the economy or is replaced by one that better represents current market conditions.
Top companies in the Dow Jones
The 30 large companies that are listed on the Dow Jones tend to be leaders in their industries. They represent broad sectors of the US economy (excluding transportation and utilities).
Unlike broader indices, there’s no fixed rule for inclusion based on market capitalisation or liquidity, but the companies are generally household names with long operating histories.
For this reason, the index is often seen as a barometer of general market sentiment.
The top ten companies (by market capitalisation as of 17 June 2025):
| Company name | Sector |
|---|---|
| Microsoft | Technology |
| NVIDIA | Technology |
| Apple | Technology |
| Amazon | Services |
| Walmart | Services |
| JPMorgan Chase | Financial |
| Visa | Financial |
| Procter & Gamble | Consumer/Non-Cyclical |
| Johnson & Johnson | Healthcare |
| Home Depot | Consumer/Cyclical |
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Choose your investment account
To start investing in the Dow Jones you’ll need to open an account, where you can buy, sell and hold investments. Our most popular investment accounts are the HL Stocks and Shares ISA and the HL Fund and Share Account.
Tax rules for ISAs can change and their benefits depend on your circumstances.
Fund and Share Account
- Free to hold shares and ETFs, up to 0.45% to hold funds
- No investment limits but tax charges could apply
- Minimum £1 to open
Stocks and Shares ISA
- Invest up to £20,000 this tax year
- Invest free from UK income and capital gains tax
- Open with £100 lump sum or £25 monthly Direct Debit