As of Monday, BM&FBOVESPA starts the calculation and publication in real time of four new indices: the BM&FBOVESPA Brazil Broad-Based Index (IBrA), BM&FBOVESPA Dividend Index (IDIV), BM&FBOVESPA Basic Materials Index (IMAT) and the BM&FBOVESPA Public Utilities Index (UTIL). The new indices will help diversify investment strategies and make it possible to create Exchange-Trade Funds (ETFs).
The Brazil Broad-Based Index debuts with 153 stocks and allows a broad view of the Brazilian stock market. It covers all of the stocks for companies listed on BM&FBOVESPA that meet the minimum liquidity criteria, such as: inclusion in a group of stocks whose combined negotiability indices represent 99% of the total value of all individual indices, and whose trading session participation is equal to or greater than 95% in the previous 12 months to calculation of the index.
The Dividend Index measures the performance of shares in companies that are outstanding in terms of remuneration to investors in dividends and interest on own capital (dividend yields) in the 24 months previous to selection for the portfolio.
The Basic Materials Index is composed of shares most representative of the packaging, wood and paper, miscellaneous materials, mining, chemicals, steel and metallurgy sectors.
The Public Utilities Index measures the performance of shares in companies that most represent the public utilities sector, which includes electricity, water and sanitation, and gas.
There will be a revision every four months of the theoretical portfolios of the four new indices, as occurs with all of the other BM&FBOVESPA indices. The Exchange now has 22 indices.
Please click here to get to know the first IBrA, IDIV, IMAT and UTIL portfolios and their methodologies.
