FTSE 100

The FTSE 100: An Overview

The FTSE 100 is a stock market index of the 100 largest companies listed on the London Stock Exchange (LSE), based on market capitalization. It was first introduced on January 3, 1984, with a base level of 1000. The index is widely used as a benchmark of the UK stock market and is considered a gauge of economic performance in the country. The FTSE 100 is calculated in real-time, with changes to its constituent companies and their weights reflecting any shifts in market sentiment.

Composition and Performance

The companies listed on the FTSE 100 come from various sectors such as Financial Services, Healthcare, Consumer goods, and Energy. Some of the notable companies listed on the index are BP, HSBC, Unilever, and Royal Dutch Shell. The performance of the FTSE 100 is largely influenced by global events, geopolitical tensions, and economic indicators such as interest rates and inflation. Since its inception, the index has grown in value, surpassing 7,000 points in 2018. Investors can track the performance of the FTSE 100 through various financial news outlets and online platforms and use the index as a way of assessing the performance of the UK stock market as a whole.