The FTSE 100 is the most important stock market index in the United Kingdom. It is known as Footsie 100 and its acronym comes from the Financial Times Stock Exchange, being a private company of the Financial Times and the London Stock Exchange.
It is the stock index where the 100 companies with the largest capitalization are found. The index began to be calculated in 1984 with a base level of 1000 points. Among the companies that make up the index, we can highlight Barclays, Unilever, Vodafone, Diageo, BP, etc.
Calculation of the FTSE 100
Securities are accounted for by capitalization, that is, the price per share multiplied by the number of shares outstanding.
It is reviewed quarterly, the first Friday of March, June, September and December. Like the rest of the European stock exchanges, its trading sessions take place from Monday to Friday and its calculations are carried out in real time with publications every 15 seconds. By law and with few exceptions, companies include a PLC designation, which indicates that they are joint-stock companies.
The London Stock Exchange data is generally given in pennies, but on the corporate pages of each company, it is possible that they may appear in pounds. Therefore, it is important to know its proportion:
1 pound sterling = 100 pence
The London Stock Exchange's opening and closing hours are from 09:00 to 17:30. Within the Ftse, there are many categories of indices such as the Ftse 250, Ftse 350, Ftse All Share, Ftse Mid 250, Ftse 350 High Yield, etc ... As with its neighboring indices, this index acts as an underlying asset for derivative products , and is also a reference asset for fund managers, basing their investment policies on overcoming its evolution.