03 Jan 2003, Risk magazine
It will rebalance the index – along with partner Dow Jones Indexes – to a base value of 5,000, with stock weightings being based on a new float-adjusted market capitalisation weighting formula. This ‘float’ component accounts only for shares that are actively trading.
The NYSE Composite will include 1,689 US stocks and 385 stocks from the rest of the world. Its market capitalisation of $12 trillion accounts for 57% of the world’s total market capitalisation.
NYSE confirmed the index would form the basis of an ETF, but failed to provide a specific timeframe for its launch, stating only that it would happen in the “near future”.