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Definition: Deutscher Aktienindex 100 – DAX 100
It is the blue chip stock market and price weighted index of the 30 major equities of DAX and 70 equities of MDAX trading in Frankfurt Stock Exchange. The index has a base date of 30 December, 1987 and is calculated by Deutsche Borse. It started from a base value of 1000 and prices are based on Xetra trading system and calculated every one minute. Some of the famous companies in the index are Adidas AG, Allianz, BMW, Daimler, Deutsche Bank, EON, Merck, SAP, Volkswagen etc.
The German name for this index is Frankfurter Wertpapierborse. DAX measures the performance of 30 largest German companies in terms of market capitalisation and order book volume. The L-DAX or Late DAX indicates the performance of benchmark DAX 30 index after the closure of each day’s trading window at the Frankfurt Stock Exchange.
Since 2003, the MDAX has decreased the number of equities from 70 to 50 and DAX has switched to HDAX. MDAX is another stock index which contains 50 Prime Standard shares or 50 mid-cap issues that are not in DAX and from all traditional sectors except technology. The HDAX is the index that is currently used which includes 30 stocks of DAX, 50 stocks of MDAX and 30 equities of TecDAX. The TecDAX tracks the 30 largest companies in the technology sector in terms of market capitalisation and book volume which are already not present in DAX index. It followed the NEMAX-50 or new market. The NEMAX-50 was discontinued in 2003 because of the new economy companies that existed during the dot cum bubble and were bankrupt due to extreme losses.