An index formed by selecting a number of prominent shares traded on a stock exchange and comparing the value of these shares with their value on a stated date in the base year. The daily value of the index may be weighted according to the prices of the shares traded or (more commonly) by the market capitalization of the company. See Deutsche Aktienindex; Dow Jones Industrial Average; Hang Seng Index; Nikkei Stock Average. See also feature The Financial Times Share Indexes.
Subjects: Financial Institutions and Services.