DAX - 10 things to know with detail
- 1. The DAX, short for Deutscher Aktienindex, is a stock market index consisting of the 30 major German blue chip companies trading on the Frankfurt Stock Exchange. 2. The index was introduced in 1988 and is managed by the German stock exchange operator Deutsche Börse. 3. The DAX is a performance index, meaning that dividends are reinvested in the index. This differs from a price index, which only tracks the price movements of the constituent stocks. 4. The DAX is weighted by market capitalization, with larger companies having a greater influence on the index's movements. 5. Some of the largest companies in the DAX include Siemens, SAP, Volkswagen, and Bayer. 6. The DAX is considered one of the most important stock market indices in Europe and is often used as a benchmark for the German economy. 7. The index is calculated in real-time and provides a snapshot of the performance of the German stock market. 8. The DAX is reviewed quarterly, with companies being added or removed based on their market capitalization, trading volume, and other factors. 9. The DAX has experienced significant volatility over the years, particularly during times of economic uncertainty or market turbulence. 10. Investors can gain exposure to the DAX through various financial products, such as exchange-traded funds (ETFs) or index funds that track the performance of the index.