Index fossils (also called type fossils or key fossils) are those that are
used to define periods of geologic time.
A good index fossil is one with five characteristics:
it is distinctive
globally widespread
abundant
limited to a particular geologic time and
is robust and preserves well
Most fossil-bearing rocks formed in the ocean as being buried in sediment
is easiest there.
So the major index fossils are marine organisms (global and universal) and
only a very few terrestrial organisms are index fossils (limited to young
rocks in specific regions and not universal for example: quickly evolving
rodent teeth).
Floating eggs and infant stages riding on ocean currents are helpful in
giving index fossil worldwide distribution. Good index fossils need to be
both --
abundant and
vulnerable
Abundant and globally widespread over a relatively short period of time.
Vulnerable to environmental change and extinction.
This combined "boom-and-bust character" is what makes for a good index
fossil.
Some index fossils are small or microscopic, part of the floating plankton
in the world ocean.
Their tiny bodies rained down all over the ocean, they can be found in all
kinds of rocks.
The petroleum industry has made great use of
index microfossils, and geologic time is broken down in quite fine
detail by various schemes based on
calcareous nannofossils, conodonts,
diatoms, foraminifera
and radiolarians.
Due to plate tectonics,
the rocks of the ocean floor are geologically young, as they are
constantly subducted and recycled into the Earth's mantle. So marine index
fossils older than about 200 million years are normally found in old
marine sedimentary strata on land.