Which index focuses on NASDAQ including many technology companies?

• A. S&P 500
• B. NASDAQ Composite
• C. Dow Jones Industrial Average
• D. Hang Seng

Answer: (B)

This tests recognizing which index is tied to the NASDAQ and is especially tech-heavy. The NASDAQ Composite includes all stocks listed on the NASDAQ Stock Market, so it explicitly represents NASDAQ-listed companies, many of which are technology firms. That broad, tech-heavy coverage is what makes it the best choice for describing an index focused on NASDAQ and its technology sector.

By comparison, the broad S&P 500 covers 500 large U.S. companies across many sectors, not limited to NASDAQ; the Dow Jones Industrial Average tracks 30 large U.S. blue-chip firms and is price-weighted; and the Hang Seng is a major index for Hong Kong stocks. So the NASDAQ Composite stands out as the index that best focuses on NASDAQ listings including many technology companies.