The Dow Jones BRIC 50 Index contains stocks of 50 super-liquidity, super-big companies in “BRIC”-land (Brazil, Russia, India, and China). It’s a market capitalization-weighted stock, which means size matters (and not just price...stay focused here). It’s also weighted to make sure its balance doesn't get too out of whack. For instance, no single stock can represent more than 10% of the index...because that’d be uncool, and wouldn't make for a very good index.
The Dow Jones BRIC 50 Index is one family member of the Dow Jones Global Indexes, which each region having its own index rep. This index even has child-indexes: The Dow Jones BRIC Brazil 15 Index, the Dow Jones BRIC China 15 Index, the Dow Jones BRIC China 15 Capped Index, the Dow Jones BRIC India 15 Index, the Dow Jones BRIC India 15 Capped Index, and the Dow Jones BRIC Russia 5 Index. Not all stocks from all of those indexes are included in the Dow Jones BRIC 50 Index—only ones in the top 10 of each of those are considered to make the cut.
Yep...it’s a competitive world out there.
Related or Semi-related Video
Finance: What is the Dow Jones Industria...2710 Views
finance a la shmoop- what is the Dow Jones Industrial Average? well it's just
an index. it's a basket of 30 industrial stocks hence the catchy industrial word [list of the 30 stocks involved in the Dow]
in there and it was started in 1896 by Charles Dow and Edward Jones sort of the
Coke and Pepsi of stock averages in the day .worth noting is the fact that while
the Dow average is quoted often in the press it's not something that real Wall
Street traders really rely on that much as a market place holder anymore. why?
well because the Dow comprises only 30 stocks. it isn't really a broad market [Dow Jones in the trash]
representation, and you know the way the S&P 500 is the 500 is bigger than 30. Big
Brother has way more stocks and is thus way more liquid than the relatively
blippi set of 30 stocks that the Dow offers. over time the Dow has changed as
companies were bought and/or died and or just withered and became no longer
relevant. i.e. newspaper industry. which means that this thing has gone through
more faces than Kanye West .yeah. [Kanye West faces pictured]
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