The ASE index Quarterly review
Mr. Mazen Wathaifi the Chief Executive Officer of the Amman Stock Exchange (ASE) said that the ASE has conducted the periodic quarterly review of the ASE index constituents in purpose of ensuring that the ASE General Price Index reflects the market performance and the trading activity of the listed companies. By this rebalancing, the activity of listed companies in regard to trading during the last quarter has been reviewed. After that, the ASE has conducted its screening process for all listed companies using the full market capitalization of the companies and the number of trading days during last quarter.
Mr. Wathaifi added that as a result of this review, (12) companies have been excluded from the index sample and other (13) companies have been added. The companies that have been excluded from the index sample were: Petra Education Company, Jordan Trade Fac, Jordan International Insurance, United Iron & Steel Manufacturing Co. P.L.C, Jordan Vegetable Oil Industries, Arab Union International Insurance, Societe Generale De Banque - Jordanie, National Aluminium Industrial, Amad Investment & Real Estate Development, National Cable & Wire Manufacturing, Darat Jordan Holdings, Siniora Food Industries Plc.
The companies that have been added to the index sample were: National Portfolio Securities, The Jordanian Pharmaceutical Manufacturing, The Consultant & Investment Group, Jordan Investment Trust, Arab Jordan Investment Bank, Arab East For Real Estate Investments Co, Zara Investment Holding, Arab International Hotels, Jordan Poultry Processing & Marketing, South Electronics, Tuhama For Financial Investments, Alentkaeya For Investment & Real estate Development Company Plc, Arab Investors Union Co. for Real Estates Developing.
As part of the process, the ASE calculated the free float for all listed companies at the ASE based on the data Received from the Securities Depository Center. This review also includes the reduction of the weights for some companies to maintain the 10% cap that applied to index constitutes.
Mr.Wathaifi clarified that the index sample includes the most active (100) companies in the ASE and the highest in terms of market capitalization. The full market capitalization of the index constituents represent (89.6%) of the total market capitalization of the companies listed at the ASE. The free float market capitalization of the index constitutes represents (93.7%) of the total free float market capitalization of the listed companies at the ASE.
In light of the above, the index constituents will be modified on the 1st of October 2019. Interested parties can access to the constituents of the index with the new weights through the following link: