A free-float market capitalization weighted index that captures the U.S.-based companies in the Dow Jones Sustainability North America Index, which contains the top 20% of the largest U.S., Canadian and Mexican companies from the Dow Jones Global Index based on economic and social sustainability. The index is reviewed quarterly for possible weighting changes (based on free-float share counts) and reconstituted each year based on the updated results of comprehensive sustainability surveys, as compiled by research firm SAM Group. The surveys measure company efforts in energy conservation, corporate governance, shareholder relations and knowledge management, among many others. Taobiz explains Dow Jones Sustainability United States Index Companies are evaluated not only against general market benchmarks but also against their own industry peers. As with other members of the Dow Jones Sustainability Index family, the United States index is also presented without businesses engaged in the production or distribution of alcohol, tobacco, firearms and gambling. Shareholders in the United States and abroad are increasingly looking for their investments to have sustainability plans or programs in place. As such, companies that are chosen for inclusion in the sustainability indexes may use them as a platform for attracting socially-conscious investors and green investors.
A stock index that captures the top 20% of the largest 600 companies in the Dow Jones Global Index that are based in North America. Companies are evaluated based on both general and industry-specific sustainability trends by Zurich-based SAM Group, a research firm that surveys thousands of global blue-chip companies each year. The free-float market capitalization weighted index is reviewed quarterly for share count changes, and reconstituted annually once updated surveys have been completed for all potential index members. Each company in the 600 stock universe is given a sustainability score based on progress in areas such as corporate governance, climate change strategy and energy consumption as well as industry-specific variables. Taobiz explains Dow Jones Sustainability North America Index Much of what are considered positive strategies for long-term economic and social responsibility don't have the short-term payoffs that shareholders are used to seeing, such as lower operating costs or higher revenues. The benefits to a company for focusing on sustainability could take many years to be realized, so short-term financial performance may not be indicative of long-run savings or shareholder approval. In addition to the main index, there are specialized sub-indexes that have filtered out industries such as alcohol, tobacco, firearms, and gambling. The North American index was first created in September 2005.
A stock volume that closes at a price lower than the previous day's close. Taobiz explains Down Volume If a stock closed at a price lower than the previous day's close, the share volume for that day would be considered down volume.
A theory which says the market is in an upward trend if one of its averages (industrial or transportation) advances above a previous important high, it is accompanied or followed by a similar advance in the other. Taobiz explains Dow Theory The theory also says that when both averages dip below previous important lows, it's regarded as an indicator of a downward trend.
A market-capitalization weighted index maintained by Dow Jones Indexes that is the mid-cap subset of the Dow Jones Wilshire 5000 Composite Index. The Dow Jones Wilshire Mid-Cap Index contains the companies ranked 501 to 1,000 as measured by market capitalization. Taobiz explains Dow Jones Wilshire Mid-Cap Index The Dow Jones Wilshire 5000 Composite Index, also known as the Dow Jones Wilshire 5000 Total Market Index, is the most broadly based U.S. stock index. The index is comprised of four segments of market capitalization, each with a different index association. 1) Dow Jones Wilshire U.S. Large-Cap Index: Stocks ranked 1-750 2) Dow Jones Wilshire U.S. Mid-Cap Index: Stocks ranked 501-1,000 3) Dow Jones Wilshire U.S. Small-Cap Index: Stocks ranked 751-2,500 4) Dow Jones Wilshire U.S. Micro-Cap Index: Stocks ranked 2,501+ The mid-cap index contains stocks from both the small- and large-cap indexes. It contains approximately 250 of the smallest large-cap stocks and 250 of the largest small-cap stocks.
Dual stock issued for a single company with varying classes indicating the different voting rights and dividend payments. Taobiz explains Dual Class Stock These types of shares create different classes of shareholders with different rights.
A term used to describe shares that trade for prices less than one dollar. The fractional prices are comparable to the diameter measures of drill-bits found in a hardware store. Taobiz explains Drill-Bit Stock Drill bit sizes are described by fractions of an inch whereas drill bit stocks would be reported as fractions of a dollar. Due to the decimalization of stock prices by major stock exchanges, drill-bit stock prices are no longer seen.
A right that enables a majority shareholder to force a minority shareholder to join in the sale of a company. The majority owner doing the dragging must give the minority shareholder the same price, terms, and conditions as any other seller. Taobiz explains Drag-Along Rights This is designed to protect the majority shareholder. Because some buyers are only looking to have complete control of a company, drag-along rights help to eliminate minority owners and sell 100% of a company's securities to the buyer.