Welcome to the ASX 200 page.
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What is the ASX 200? The ASX 200 index ( run by Standard & Poors, so known as the S&P ASX 200) is a market capitalisation weighted and float-adjusted index of Australian shares that are listed on the Australian Securities Exchange ( ASX ) .It was first launched on the 31st March 2000 with a value of 3133.3 which was the same value as the benchmark All Ordinaries on the same date.
The ASX 200 is market capitalization weighted which means that a company's contribution to the index is relative to its total market value i.e. share price x number of tradeable shares. The ASX 200 is also float adjusted meaning that the absolute numerical contribution to the index is relative to the stock's value at the float of the stock.
Although the calculation starts with a sum of the market capitalisation of the constituent stocks, it is intended to reflect changes in share price, NOT market capitalisation. Therefore a fudge factor called the "Divisor" is used to ensure that the index value only changes when stock prices change, not whenever market capitalisation changes. For example, if a company increases its market capitalisation by issuing new shares, the Divisor is adjusted so that the ASX 200 index value does not change.
Looking for a list of the stocks that make up the ASX 200?
Please click on the link below.
