Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail
Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail

Market Perform

What it is:

"Market perform" is an expression indicating that a security experiences returns similar to the overall market.

How it works (Example):

A security that investors and analysts describe as "market perform" closely follows the performance of a market indicator, like the Dow Jones Industrial Average (DJIA). For example, if a stock appreciates at 10% per year and the Dow also grows at 10% per year, that stock is described as market perform.

Why it Matters:

Market perform is a subjective term that reflects neither poorly nor favorably on a stock. Investors seeking aggressive growth may wish to avoid items described as market perform and instead choose stocks that perform better than the market.