What is the FTSE 100?

The FTSE 100 is also known as the Financial Times Stock Exchange 100 Index. It represents a number that expresses the average value of the share prices of the top 100 British companies based on market capitalisation. Published by the Financial Times newspaper, the FTSE 100 shows the changing index value of the public companies listed on the London Stock Exchange (LSE). The FTSE 100 is maintained by the FTSE group, and the index is measured against the previous day’s market close. To be a part of the FTSE, a company must be listed on the LSE, denominated in pounds, and meet the minimum float and stock liquidity requirements. The FTSE 100 is composed of numerous industries, including materials, financials, consumer staples, energy, and industrials, among others. Some of the top 10 FTSE 100 companies are AstraZeneca, Shell, HSBC, Unilever, and British Petroleum.