Phrases with «capitalization weighting»

"Capitalization weighting" refers to a method of determining the importance or influence of individual components within a group or index. It means that companies or assets with larger market values have a higher impact on the overall performance or value of the group or index. Full definition

Related phrases

Sentences with «capitalization weighting»

  • The index family will include an equal weighted index and other weighting methodologies that will provide alternatives to market capitalization weighted indices. (fortune.com)
  • In the paper you point out the problem with using capitalization weighted indices. (abnormalreturns.com)
  • Because of the equal weight component, the portfolio has a larger proportion of smaller companies compared to a purely market capitalization weighted portfolio. (ibkram.com)
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