The ASE index Quarterly review
Mr. Bassam Abu Abbas the Acting 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 the 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 the last quarter.
Mr. Abu Abbas added that as a result of this review, (9) companies have been excluded from the index sample and other (9) companies have been added. The companies that have been excluded from the index sample were: Arab International Hotels, Al-Bilad Medical Services, Jordan Dairy, The Consultant & Investment Group, Amoun International For Investments, Al-Rakaez Investment Co., Arab East for Real Estate Investments Co., Arab Jordan Investment Bank, International For Medical Investment.
The companies that have been added to the index sample were: Emmar Investments & Real Estate Development, The Real Estate & Investment Portfolio Co., Jordan Loan Guarantee Corporation, Jordan Decapolis Properties, Societe Generale De Banque - Jordanie, Amad Investment & Real Estate Development, National Aluminium Industrial, Darat Jordan Holdings, Transport & Investment Barter Company.
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. Abu Abbas 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 constituent's represents (89.8%) of the total market capitalization of the companies listed at the ASE. The free float market capitalization of the index constitutes represents (92.1%) 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 July 2019. Interested parties can access to the constituents of the index with the new weights through the following link: