FTSE 100 – Performance and Market Analysis in 2024 (2024)

The FTSE 100 is one of the UK's leading stock indices, reflecting the performance of the 100 largest companies listed on the London Stock Exchange. This index is a key indicator of the economic health and performance of blue-chip UK companies.

FTSE 100 price

What is the FTSE 100?

The FTSE 100, also known as “Footsie”, is a stock market index which brings together the 100 most capitalized British companies listed on the London Stock Exchange. It represents more than 70% of the total market capitalization of the London market.

Launched on 3 January 1984 with a base of 1 points, the FTSE 000 has become the FTSE Group's most widely used stock index and serves as a benchmark for measuring the health of the UK economy.

How to Invest in the FTSE 100 Index?

There are several ways to invest in the FTSE 100 index:

• Buy the shares that compose it: You can directly buy the shares of the companies that make up the FTSE 100 index. This allows you to benefit from the individual performance of each company, but also to diversify your portfolio. However, this approach requires in-depth business knowledge and active management of your portfolio.
• Trading CFDs on the FTSE 100 Index: CFDs (Contracts for Difference) are derivative products that allow you to speculate on the rise or fall in the price of the FTSE 100 index without having to buy the underlying shares in real time. stock Exchange. CFDs offer significant leverage, which can amplify both your gains and your losses. It is important to fully understand the risks associated with trading CFDs before you start.
• Investing in ETFs (Exchange Traded Funds) or Trackers on the FTSE 100 Index: ETFs and trackers are investment funds that replicate the performance of the FTSE 100 index. They allow you to invest in the index in a passive and diversified manner at a lower cost. There are a wide range of ETFs and trackers available, with different management fees and replication policies.

Composition of the FTSE 100 index

1. ANTOfa*gASTA PLC ORD 5P
2. CONVATEC GROUP PLC ORD 10P
3. CRODA INTERNATIONAL PLC ORD 10.609756P
4. NEXT PLC ORD 10P
5. BEAZLEY PLC ORD 5P
6. BAE SYSTEMS PLC ORD 2.5P
7. FRESNILLO PLC ORD USD0.50
8. M&G PLC ORD £0.05
9. HSBC HLDGS PLC ORD $0.50 (UK REG)
10. STANDARD CHARTERED PLC ORD USD0.50
11. UNILEVER PLC ORD 3 1/9P
12. DCC PLC ORD EUR0.25 (CDI)
13. SMITHS GROUP PLC ORD 37.5P
14. INTERMEDIATE CAPITAL GROUP PLC ORD 26 1/4P
15. SAGE GROUP PLC ORD 1 4/77P
16. RECKITT BENCKISER GROUP PLC ORD 10P
17. B&M EUROPEAN VALUE RETAIL SA ORD 10P (DI)
18. NTERTEK GROUP PLC ORD 1P
19. PRUDENTIAL PLC ORD 5P
20. UNIT GROUP PLC ORD 25P
21. WEIR GROUP PLC ORD 12.5P
22. ROLLS-ROYCE HOLDINGS PLC ORD SHS 20P
23. RIO TINTO PLC ORD 10P
24. WHITBREAD PLC ORD 76 122/153P
25. HALEON PLC ORD GBP0.01
26. KINGFISHER PLC ORD 15 5/7P
27. PHOENIX GROUP HOLDINGS PLC ORD 10P
28. NATIONAL GRID PLC ORD 12 204/473P
29. ANGLO AMERICAN PLC ORD USD0.54945
30. BERKELEY GROUP HOLDINGS (THE) PLC ORD 5.4141P
31. SCHRODERS PLC ORD 20P
32. TAYLOR WIMPEY PLC ORD 1P
33. DIAGEO PLC ORD 28 101/108P
34. F&C INVESTMENT TRUST PLC ORD 25P
35. TESCO PLC ORD 6 1/3P
36. COCA-COLA HBC AG ORD CHF6.70 (CDI)
37. RENTOKIL INITIAL PLC ORD 1P
38. FLUTTER ENTERTAINMENT PLC ORD EUR0.09 (DI)
39. GLENCORE PLC ORD USD0.01
40. MONDI PLC ORD EUR 0.22
41. HOWDEN JOINERY GROUP PLC ORD 10P
42. SMITH (DS) PLC ORD 10P
43. CENTRICA PLC ORD 6 14/81P
44. BUNZL PLC ORD 32 1/7P
45. MARKS & SPENCER GROUP PLC ORD 1P
46. PERSHING SQUARE HOLDINGS LTD ORD NPV
47. PERSIMMON PLC ORD 10P
48. LAND SECURITIES GROUP PLC ORD 10 2/3P
49. BT GROUP PLC ORD 5P
50. 3I GROUP PLC ORD 73 19/22P
51. RS GROUP PLC ORD 10P
52. SEVERN TRENT PLC ORD 97 17/19P
53. MELROSE INDUSTRIES PLC ORD 160/7P
54. PEARSON PLC ORD 25P
55. AVIVA PLC ORD 32 17/19P
56. LONDON STOCK EXCHANGE GROUP PLC ORD SHS 6 79/86P
57. JD SPORTS FASHION PLC ORD 0.05P
58. DIPLOMA PLC ORD 5P
59. EASYJET PLC ORD 27 2/7P
60. INTERCONTINENTAL HOTELS GROUP PLC ORD 20 340/399P
61. LEGAL & GENERAL GROUP PLC ORD 2 1/2P
62. HIKMA PHARMACEUTICALS PLC ORD SHS 10P
63. UNITED UTILITIES GROUP PLC ORD 5P
64. SEGRO PLC ORD 10P
65. SPIRAX-SARCO ENGINEERING PLC ORD 26 12/13P
66. ADMIRAL GROUP PLC ORD 0.1P
67. SMURFIT KAPPA GROUP PLC ORD EUR0.001 (CDI)
68. SAINSBURY(J) PLC ORD 28 4/7P
69. VODAFONE GROUP PLC ORD USD0.20 20/21
70. BARRATT DEVELOPMENTS PLC ORD 10P
71. IMI PLC ORD 28 4/7P
72. SCOTTISH MORTGAGE INV TST PLC ORD 5P
73. AUTO TRADER GROUP PLC ORD 1P
74. COMPASS GROUP PLC ORD 11 1/20P
75. INFORMA PLC ORD 0.1P
76. IMPERIAL BRANDS PLC ORD 10P
77. LLOYDS BANKING GROUP PLC ORD 10P
78. HALMA PLC ORD 10P
79. BRITISH AMERICAN TOBACCO PLC ORD 25P
80. BP PLC $0.25
81. RIGHTMOVE PLC ORD 0.1P
82. BURBERRY GROUP PLC ORD 0.05P
83. WPP PLC ORD 10P
84. OCADO GROUP PLC ORD 2P
85. FRASERS GROUP PLC ORD 10P
86. EXPERIAN PLC ORD USD0.10
87. RELX PLC ORD 14 51/116P
88. AIRTEL AFRICA PLC ORD USD0.50
89. ASTRAZENECA PLC ORD SHS $0.25
90. BARCLAYS PLC ORD 25P
91. ASHTEAD GROUP PLC ORD 10P
92. ASSOCIATED BRITISH FOODS PLC ORD 5 15/22P
93. SHELL PLC ORD EUR0.07
94. NTL CONSOLIDATED AIRLINES GROUP SA ORD EUR0.10 (CDI)
95. NATWEST GROUP PLC ORD 107.69P
96. SMITH & NEPHEW PLC ORD USD0.20
97. GSK PLC ORD 31 1/4P
98. ST.JAMES'S PLACE PLC ORD 15P
99. SSE PLC ORD 50P
100. ENTAIN PLC ORD EUR0.01

How the FTSE 100 works

The FTSE 100 operates as a market capitalization weighted index, meaning that companies with higher market capitalization have a greater weight in the index. Companies included in the FTSE 100 are reviewed quarterly to ensure they meet the market capitalization and liquidity criteria necessary to remain in the index.

FTSE 100 companies must also meet strict transparency and governance standards. The index is calculated continuously during trading hours and is updated every 15 seconds to reflect real-time market movements.

Calculation of the FTSE 100 Index

The FTSE 100 is calculated using the following formula:

FTSE 100 Index= ∑(Pi×Si)/D

Where:

• PiPi​ is the company's share price ii
• SiSi​ is the number of outstanding shares of the company ii
• DD is a split factor, which is adjusted to account for changes in index composition and corporate events such as stock splits and mergers.

The division factor is crucial to maintaining the continuity of the index despite changes in the market.

Importance of the FTSE 100

The FTSE 100 is an important index for several reasons:

• Representativeness of the British market: The FTSE 100 brings together the largest British companies and represents more than 70% of the total market capitalization of the London market. It is therefore considered a barometer of the health of the British economy.
• World reference: The FTSE 100 is one of the most followed stock indices in the world and is used as a benchmark by many investors and portfolio managers.
• Investment product: The FTSE 100 is available to investors through various investment products, such as shares, CFDs, ETFs and trackers.

Conclusion

The FTSE 100 is a major stock market index which provides investors with a means of gaining exposure to the performance of the UK stock market. It is important to understand how the index works, its calculation and its importance before investing in it. Remember that investing in the stock market involves risks and you should never invest more money than you can afford to lose. It is important to do your own research and consult a financial advisor before making an investment decision.