FTSE 100 Explained

In this video we will take a very basic look at the FTSE 100 index. The index is simply a measure of the value of the 100 largest companies in Britian.

The free float market cap is calculated from:

number of shares * share price * free float adjustment factor

For a company with 95% of their share in public hands the free float adjustment factor would simply be 0.95.

Also note on the last slide the index is the NASDAQ 100.