Dow Jones Indexes and Barron’s, America’s premier financial weekly magazine, have launched the Barron’s 400 Index which will track the performance of highly liquid U.S. stocks, highlighting America’s most promising companies as defined by fundamentals-related rules-based criteria.
“We’ve combined our 10 years of proven expertise in building innovative, rules-based indexes with Barron’s excellent reputation as a trusted source of financial news and analysis to deliver this unique, leading-edge stock market indicator to the investment community,” says Michael A. Petronella, president of Dow Jones Indexes.
To be eligible for inclusion, stocks are rated by fundamental criteria that measure companies’ profitability, cash flow and “growth” and “value” style characteristics. Fundamental analysis and rating of stocks is conducted by MarketGrader.com Corp., a research firm based in Coral Gables, Fla.
Stocks must then pass additional rules-based screens applied by Dow Jones Indexes.