Dow Jones Indexes, an index provider, announced component changes in The Global Dow. Component changes to The Global Dow are decided by editors of The Wall Street Journal.
The following nine companies will be removed from The Global Dow: AXA S.A. (France, Insurance, CS.FR), Cemex S.A.B. de C.V. Series CPO (Mexico, Construction & Materials, CEMEX.MX), Citigroup Inc. (United States, Banks, C), Deutsche Post AG (Germany, Industrial Goods & Services, DPW.XE), Gamesa Corporacion Tecnologica S.A. (Spain, Oil & Gas, GAM.MC), General Motors Corp. (United States, Automobiles & Parts, GM), ING Groep N.V. (Netherlands, Insurance, INGA.AE), National Bank of Greece S.A. (Greece, Banks, ETE.AT) and Royal Bank of Scotland Group PLC (United Kingdom, Banks, RBS.LN).
Companies added to The Global Dow are: Amgen Inc. (United States, Health Care, AMGN), Anheuser-Busch InBev N.V. (Belgium, Food & Beverage, ABI.BT), Bridgestone Corp. (Japan, Automobiles & Parts, 5108.TO), Canon Inc. (Japan, Technology, 7751.TO), CLP Holdings Ltd. (Hong Kong, Utilities, 0002.HK), Esprit Holdings Ltd. (Hong Kong, Retail, 0330.HK), Medco Health Solutions Inc. (United States, Health Care, MHS), NASDAQ OMX Group Inc. (United States, Financial Services, NDAQ), and Travelers Cos. Inc. (United States, Insurance, TRV).
“These changes in The Global Dow are off-schedule, but we felt they were necessary because of the extraordinary market conditions worldwide since the index was launched last November 11,” says John A. Prestbo, editor and executive director, Dow Jones Indexes. “We will conduct the regular annual review of The Global Dow’s components in September.”
The changes in The Global Dow will be effective before the open of trading on Wednesday, April 1, 2009.
The float-adjusted market capitalization of the reconstituted Global Dow increased to US$6.748 trillion from US$6.646 trillion.
The Global Dow measures the performance of 150 stocks of companies that are established global leaders as well as those poised for future global leadership. The Global Dow is a blue-chip representation of the world’s leading companies as selected by editors of Dow Jones & Company. Stocks in The Global Dow are equally weighted and are rebalanced annually in September.
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