In fact i am searching for the answer to this question for so long, i personally thought it index value change could relate to the amount of investment in the market by all the companies as they invest billions of dollors in the market, but still i am not confident about my own view. I have asked this question from so many people whick includes even professors of the commerce and business studies but no one gave me the answer which could satisfy me.
2007-10-30 19:55:14 · 1 answers · asked by Anonymous in Business & Finance ➔ Investing
The FTSE 100 Index is made up of the weighted average share price of the 100 largest Companies (by market value) trading on the London Stock Exchange.
(market value depends on the share price, so every month the FTSE administrators review the shares in the Index and may replace some that have gone down by others that have gone up and passed them in value).
Read the wikipedia article on 'Stock market Index' and then on FTSE 100 Index.
2007-10-30 20:52:10 · answer #1 · answered by Steve B 7 · 0⤊ 0⤋