Bucharest Stock Exchange Launches BET-BK Index On July 3

28/06/2012

Bucharest Stock Exchange (BVB) announces that on Tuesday, July 3, 2012, launches BET-BK index (Bucharest Exchange Trading Benchmark Index).

BET-BK index is a benchmark index, a price index weighted with the market capitalization of the most traded companies on BVB.

The need for such an index was identified by the Romanian mutual funds, with the support of Romanian Association of Asset Managers, for using this index as a benchmark.

Main difference from BET-XT index, the closest structure to BET-BK:

  • inclusion of foreign companies listed on BVB
  • inclusion of a liquidity factor, which uses the weight of the traded value of a given company in the total market traded value, in certain time intervals (1 month, 3 months, 6 months, 9 months, 12 months)
  • UCITs compliance, namely:
    a) maximum weight of a company in the index cannot exceed 10% from the index;
    b) maximum weight of a group of companies included in the index cannot exceed 20% from the index;
    c) sum of weights of companies/group of companies that exceed 5% from the index cannot exceed together 40% of the index.

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