The FTSE 100 Index (pronounced footsie) is a share index of the 100 largest companies listed on the London Stock Exchange, begun on January 3, 1984. Component companies must meet a number of requirements set out by the FTSE Group, including having a full listing on the London Stock Exchange with a Sterling or Euro dominated price on SETS, and meeting certain tests on nationality, free float, and liquidity. Trading lasts from 0800-1629 (when the closing auction starts), and closing values are taken at 1635. The highest value of the index to date was 6950.6, set on December 30, 1999.
The index is seen as a barometer of success of the British economy and is the leading share index in Europe. It is maintained by the FTSE Group, a now independent company which originated as a joint venture between the Financial Times and the London Stock Exchange (hence the abbreviation Financial Times Stock Exchange). According to the FTSE Group's website the FTSE 100 companies represent about 80% of the UK share market.
Related indices are the FTSE 250 Index (which lists the next largest 250 companies), FTSE SmallCap, FTSE Fledgling, the FTSE 350 Index (which is the aggregation of the FTSE 100 and 250), and the FTSE All-Share Index (which aggregates the FTSE 100, FTSE 250 and FTSE SmallCap).
The constituents of the index are determined quarterly; the largest companies in the FTSE 250 Index are promoted if their market capitalisation would place them in the top 90 firms of the FTSE 100 Index. As of 2006, the threshold for inclusion is about 2 billion pounds. As of 31 December 2005 the 6 largest constituents of the index were BP, Royal Dutch Shell, HSBC Holdings, the Vodafone Group, the Royal Bank of Scotland Group and GlaxoSmithKline, which were all valued at more than £50 billion.
Most of the companies listed on this index usually include the abbreviation plc at the end of their name, indicating their status of public limited company.
There are 100 companies in the index, but a total of 102 listings as two classes of shares are included for Royal Dutch Shell and Schroders.
Source: File linked from this page on the London Stock Exchange's official site. Companies which do not have their primary listing on the London Stock Exchange are not eligible for membership of the FTSE 100 Index and have been excluded.
Stock market indices | Lists of companies | Companies of the United Kingdom | United Kingdom-related lists | Companies listed on the London Stock Exchange
Financial Times Stock Exchange Index | Financial Times Stock Exchange | FTSE | Financial Times Stock Exchange Index | FTSE 100
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