The dax index is a stock market index that represents the performance of the 30 largest and most liquid companies traded on the Frankfurt Stock Exchange. The index is weighted by market capitalization and is the most commonly used benchmark for German stocks.
The DAX index is a total return index, meaning that it includes dividends paid by the companies.
The History of the Dax Index
The DAX Index is a stock market index consisting of the 30 largest companies traded on the Frankfurt Stock Exchange. The index is weighted by market capitalization and is composed of the following companies as of the fourth quarter of 2019:
Adidas
Allianz
Bayer
Beiersdorf
BMW
Continental
Daimler
Deutsche Bank
Deutsche Börse
Lufthansa
Deutsche Post
Deutsche Telekom
E.ON
Fresenius
HeidelbergCement
Henkel
Infineon Technologies
Linde
Merck
Münchener Rück
RWE
SAP
Siemens
Volkswagen Group
The DAX Index was introduced in 1988, replacing the former West German Stock Index (WBI). The base value of the DAX Index was set at 1,000 points on December 30, 1987. In its early years, the DAX Index was highly volatile, reaching a peak of over 8,000 points in March 2000 before falling to a low of under 3,000 points in October 2002.
The DAX Index has recovered since then and is currently trading at over 12,000 points.
How the Dax Index is Calculated
The DAX is a Blue Chip stock market consisting of the 30 major German companies trading on the Frankfurt Stock Exchange. The index is the benchmark index for the German equity market and is one of the most widely used indices in the world.
The DAX is calculated using real-time prices from the Frankfurt Stock Exchange.
As of June 2017, the companies with the largest weightings in theIndex are:
1. Siemens AG (SI)
2. Bayer AG (BAYN)
3. Volkswagen AG (VOW3)
4. Allianz SE (ALV)
5. Daimler AG (DAI)
6. Deutsche Telekom AG (DTE)
7. SAP SE (SAP)
8. E.ON SE (EOAN)
9. Henkel AG & Co. KGaA (HEN3)
10. Deutsche Lufthansa AG (LHA)
The Benefits of Investing in the Dax Indx
The stock market index tracks the performance of 30 major German companies. One of the most popular indices for ETFs and indx funds.
What are the benefits of investing in the DAX Indx?
There are several benefits of investing in the DAX Indx.
1. A broad measure of the German stock market.
2. The DAX Indx is a leading indicator of the German economy.
3. A popular index for ETFs and index funds.
4. A good way to diversify your portfolio.
The Risks of Investing in the Dax Index
The Dax Index is a stock market index that tracks the performance of the 30 largest companies listed on the Frankfurt Stock Exchange. It is one of the most widely followed stock market indices in the world.
1. The Dax Index is a volatile index.
The Dax is a volatile index. This means that it can go up or down a lot in a short period of time. This can be a risk for investors because it can be difficult to predict which way the index will move.
2. Subject to market risk.
The Dax Indx is subject to market risk. This means that the index can go down if the stock market goes down. This risk is especially relevant in the current market environment where there is a lot of uncertainty about the future.
3. The Dax Index is subject to political risk.
The Dax is subject to political risk. This means that the index can go down if there is political turmoil in Germany or in Europe.
4. The Dax Index is subject to interest rate risk.
The Dax is subject to interest rate risk. This means that the index can go down if interest rates go up.
5. The subject to currency risk.
The Dax is subject to currency risk. This means that the index can go down if the euro weakens against other currencies.
Should You Invest?
The Dax Index is a stock market indx that tracks the performance of 30 large companies listed on the Frankfurt Stock Exchange. It is a widely followed index in Germany and is often used as a benchmark for the performance of the German stock market.
Here are six reasons why you should consider investing in the Dx Index:
1. One of the most widely followed stock market indexes in Germany.
2. A good benchmark for the performance of the German stock market.
3. The Dax is composed of 30 large companies listed on the Frankfurt Stock Exchange.
4. The Dax is a price-weighted index.
5. A history of strong performance.
6. A is a diversified index.