Home Forums Members Forum Exxon Mobil Kicked Off the Dow 30!! Reply To: Exxon Mobil Kicked Off the Dow 30!!

Sean HymanSean Hyman
Post count: 3366

Not much. Why? Not much is indexed to the Dow. Most index funds that people are invested in, are tied to the S&P 500. So it’s more symbolic when someone gets into or gets kicked out of the Dow Jones Industrial Average. Yet, getting the boot from the S&P 500 means many index tracking funds have to sell out of that stock and if some stock gets added to the index, then those tracking funds have to buy it. So, that one’s the bigger deal.

XOM, however, is not the company it once was. There are far superior oil companies out there, fundamentally. We held it once in the past when it had better fundamentals. But it doesn’t appeal to me today. It’s why we’ve been in others and not it.