Index Computation Methodology |
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| Return calculation |
Total return including prices changes, accrued and re-invested coupon payments. A sub-index is calculated as the cumulative value of the sum of the weighted daily total return of each constituent relative to its base level. The MEBI is calculated as the cumulative value of the weighted daily total return of each sub-index relative to 100. |
| Index base |
31 December 2004 = 100 |
| Pricing |
HSBC bid prices at Middle East close |
| Weightings |
Liquidity-adjusted market capitalisation |
| Coupon reinvestment |
Full amount of cash coupon payments will be held in cash intra month, and will be re-invested in the corresponding sub-index at month end |
| Addition of new constituents |
Qualified new issues launched intra month are added to the index at the first business day of the following month with an assigned liquidity ranking. The ranking is thereafter reviewed quarterly. |
| Withdrawal of current constituent |
Month end at which the remaining maturity is less than one year. |
| Announcement of new liquidity ranking |
Quarter end |
| Adjustment to new liquidity ranking |
Actual adjustment for constituents' liquidity rankings occurs one full month after the announcement of a ranking change. |
| Availability |
Every London business day |
| Current sub-indices |
The three main indices (SKBI, MEBI and MEAG) have various sub-indices based on sector/ geography amongst other criteria |
| Source HSBC |
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