CNBC, the recognised global leader in business news, and FTSE Group, the award-winning global index company, have collaborated to create an index of the leading companies across the world. The new custom index has been created for CNBC’s global show, Worldwide Exchange, and debuts on the show on Monday 18th September (9am-11am UK), and will be used across the entire CNBC global TV network.
“Our objectives in creating this index are to help give greater context to the global business stories of the day; to provide viewers with one quantifiable measure and to give a snapshot of how global business is performing,” says Barbara Stelzner, Head of News at CNBC Europe. “Business is increasingly conducted on a worldwide basis and it is vital that we are able to demonstrate a globally representative market sentiment. The new index allows us to do this in a very transparent manner.”
The FTSE CNBC Global 300 Index comprises the largest 15 companies by market capitalization from each key industry*, plus the 30 largest companies from emerging markets. The total number of constituent companies is always 300. The index has been designed to represent broad market performance across all industries, using the market leading classification system (ICB). The companies in the index are taken from the FTSE Global Equity Index Series which covers over 7,000 securities in 48 different countries, capturing 98% of the world’s investable market capitalization.
The index is calculated on a real time basis every 15 seconds in US dollars and a total return index will be calculated at the end of each day in US dollars. Calculations commenced on 31 August 2006. Opening hours of the index are 02.00 – 21.10 (UK time).
Analysis of the index shows that since December 2000 the Technology industry within FTSE CNBC 300 Index outperforms the FTSE All-World Developed, and FTSE US Tech Indices. The Basic Materials industry within the FTSE CNBC 300 outperforms FTSE Developed and FTSE US Basic Materials Indices. Year to date, the FTSE CNBC 300 Index has outperformed the FTSE All-World and FTSE Developed Indices.
Imogen Dillon Hatcher, Managing Director EMEA, FTSE says: “As an index specialist, FTSE is committed to leading the field in the design, construction and management of indices, in markets all over the world and we are pleased to collaborate with CNBC for this new index. We’ve used our award-winning, international index design skills to construct an index which provides information in a format that is straightforward and easy for global investors to analyse and understand market trends.”
