About the Index
The Spanish IBEX 35 Index is the primary benchmark index
for the Spanish stock market and covers the 35 largest companies in the market.
Stocks are listed based on their market capitalization and financial value.
The index was launched on January 14, 1992, and is managed by Sociedad de Bolsas
a subsidiary of BME, which manages the Spanish stock exchanges.
The index is calculated based on the market capitalization of the companies included in the index
adjusted for the free float.
The index is reviewed twice a year by a specialized technical committee
to assess the liquidity and market capitalization of the companies included in the index.
Major Sectors Included in the Index
The index includes many different and diverse sectors.
Major Sectors Included in the Index:
- Financial Services (Banks and Insurance) at 36.3%
- Energy at 20%
- Consumer Goods at 14%
- Technology and Telecommunications at 12.5%
- Basic Materials at 9.2%
Major Companies Included in the Index
Here is a list of the major companies included in the index to date
Inditex
BancoSantander
AmadeusITGroup
Iberdrola
AenaSME
CaixaBank
CellnexTelecom
AenaSME
Ferrovial
Telefónica
Enagás
Sacyr
LaboratoriosRovi
Official Trading Hours
Pre-Opening Session: 8:30 AM to 9:00 AM
Main Trading Session: 9:00 AM to 5:30 PM
Closing Session: 5:30 PM Until 5:35 PM
Post-Closing Session
From 5:35 PM to 8:00 PM
All times are Madrid time.
Key Features of Trading the Index
1. Understanding the Strength of the Spanish Economy: The index
represents the strength of the country's economy and is considered the primary indicator.
2. Ease of Trading and Investing in the Index
This can be done through Exchange Traded Funds (ETFs), futures contracts,
or CFD brokers such as TechMill, Equity, Exness, and others.
3. High Liquidity in the Index: This is due to the presence of many large, global companies that attract numerous investors.
4. Clear Transparency: The index is reviewed twice a year to ensure that the most actively traded companies with significant market capitalization remain included.
The Index's Main Drawbacks
1. The index includes a small number of companies, only 35.
2. It has a heavy reliance on the financial sector, making it highly sensitive to European Central Bank (ECB) decisions.
3. It is susceptible to European and global crises.
4. It is affected by the economic and political conditions of the country.
5. It lacks representation of modern sectors such as technology and artificial intelligence, which have become a focus for investors worldwide.
Tips Before Trading the Index
1. Follow the news of the Spanish and European central banks and their interest rate decisions.
2. Monitor the performance of investment funds that track the index.
3. Follow European and US news.
4. Follow banking news, as it has a very strong impact on the index.
5. Monitor the index's technical movements daily and keep it updated.
6. Exercise caution while trading and ensure you have a robust money management system.
