Rupert Murdoch-owned Dow Jones Indexes - which owns the widely tracked Dow Jones Industrial Average index that covers 30 large US companies listed on the New York Stock Exchange — has unveiled a blue chip index for India. The Dow Jones India Titans 30 Index will measure the performance of the 30 largest and most liquid stocks listed on the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE).
The selection to the index will be based on rankings by float-adjusted market capitalisation and 12 month average daily trading volume.
Murdoch said: “The world is changing and how we measure that change economically and financially is clearly a challenge and an opportunity. We have seen a reweighting of risk, but the world itself is being economically rerated and so we need an index that allows investors to take advantage of these changes.” According to Murdoch, Indian companies will obviously have a place in The Global Dow “as will companies from other emerging countries where we have seen an unprecedented economic emancipation over the past two decades”.
Robert Thomson, managing editor, The Wall Street Journal said, “While we must reflect the global stock market as it is, we must also recognise the rapid rise of companies in countries such as India.” The Global Dow will track the share prices of existing and future global leaders in every industry.