{"id":2106,"date":"2017-05-23T01:01:09","date_gmt":"2017-05-23T01:01:09","guid":{"rendered":"http:\/\/asadkarim.co.uk\/?p=2106"},"modified":"2017-05-12T08:08:43","modified_gmt":"2017-05-12T08:08:43","slug":"the-ftse-100-dominated-by-12-companies","status":"publish","type":"post","link":"https:\/\/www.asadkarim.co.uk\/?p=2106","title":{"rendered":"The FTSE-100: Dominated by 12 Companies."},"content":{"rendered":"<p>The UK&#8217;s Flagship Index is the FTSE-100 Index.<\/p>\n<p>The symbol is UKX<\/p>\n<p><a href=\"http:\/\/www.shareshop.hsbc.co.uk\/shareshop\/security.cgi?csi=50058\" target=\"_blank\">http:\/\/www.shareshop.hsbc.co.uk\/shareshop\/security.cgi?csi=50058<\/a><\/p>\n<p>The top 100 UK companies but 12 companies distort the index due to relative weightings.<\/p>\n<p>Royal Dutch Shell is 9.2% of the FTSE-100<br \/>\nHSBC 6.9% of the FTSE-100<br \/>\nBritish American Tobacco 5.4% of the FTSE-100<br \/>\nBP 4.7% of the FTSE-100<br \/>\nGlaxoSmithKline 4.2% of the FTSE-100<br \/>\nAstraZeneca 3.2% of the FTSE-100<br \/>\nDiageo 3.1% of the FTSE-100<br \/>\nVodafone 2.9% of the FTSE-100<br \/>\nUnilever 2.6% of the FTSE-100<br \/>\nReckitt Benckiser 2.5% of the FTSE-100<br \/>\nLloyds Banking Group 2.4% of the FTSE-100<br \/>\nPrudential 2.4% of the FTSE-100<\/p>\n<p>That is 12 companies make up <strong>49.5%<\/strong> of the whole index.<\/p>\n<p>What does this mean ?<\/p>\n<p>So if you invested \u00a31,000 with a FTSE 100 tracker, <strong>49.5%<\/strong> of that \u00a31,000 which is nearly half of your investment just goes into 12 stocks. That means, \u00a3495 of your cash is invested in the 12 companies above, and then the <strong>remaining \u00a3505 will be spread between 88 companies<\/strong>.<br \/>\nThus your fortunes are tied to really 12 companies and their performance.\u00a0 A very distorted index.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The UK&#8217;s Flagship Index is the FTSE-100 Index. The symbol is UKX http:\/\/www.shareshop.hsbc.co.uk\/shareshop\/security.cgi?csi=50058 The top 100 UK companies but 12 companies distort the index due to relative weightings. Royal Dutch Shell is 9.2% of the FTSE-100 HSBC 6.9% of the FTSE-100 British American Tobacco 5.4% of the FTSE-100 BP 4.7% of the FTSE-100 GlaxoSmithKline 4.2% [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-2106","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/2106","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=2106"}],"version-history":[{"count":1,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/2106\/revisions"}],"predecessor-version":[{"id":2107,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=\/wp\/v2\/posts\/2106\/revisions\/2107"}],"wp:attachment":[{"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=2106"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=2106"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.asadkarim.co.uk\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=2106"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}