Technidex Capital Advisors owned Technidex Stock Future Indexes© (Copyright protected) are the first indexes to be truly representing the futures segment. Contrary to the standard practice of the index future being based on the underlying, our underlying index is based on the weights in futures’ index. They are an ideal bench-mark for tradable exposure to Indian stock futures & their underlying stocks since they take into account the price movement of not only the current month future but all active future contacts (current, near & far month contracts) & their underlying stocks and simultaneously compute the prevailing Cost of Carry & Delivery % of the Indexes.
With a base of 1000 on January 2, 2006, Technidex Stock Futures Indexes© use (proprietary) documented Index Construction & Calculation Methodology (Copyright protected) and have adequate historical data.
Superior performance of the Technidex Stock Futures Indexes© in short medium & long term makes them ideal for traders, arbitrageurs, investors & institutional players. The components of Technidex Stock Futures Indexes© are highly representative of activity – Volume, Open Interest & Delivery in stock futures & their underlying shares.
Technidex Stock Futures Index© is an indicator representing the price movement of the entire universe of active stock futures listed for trading on a major stock exchange in India, across all expiry dates. Thus, the index factors in possible announcements or corporate actions that may be due in the middle / far months.
Technidex Underlying Stock Index© simultaneously tracks the price movement of the underlying stocks of the index constituents. Weights in the Technidex Stock Futures Index & Technidex Underlying Stock Index are identical, hence simultaneous analysis of futures & underlying prices is more meaningful.
Technidex Cost of Carry (CoC) Indicator© is a continuous price line to track the prevailing premium / discount of stock futures across all expiries, making it useful for traders, arbitrageurs, investors & institutional players. Our CoC calculation methodology plots a continuous & smooth price-line without abnormal spikes in CoC close to expiry days.
Technidex Delivery Indicator© tracks the delivery% in the underlying stocks. The extent of delivery directly impacts the premium / discount of the Technidex Stock Futures Index over the Technidex Underlying Stock Index and Technidex Cost of Carry Indicator. It also indicates the strength / weakness in the overall market.
The Technidex Stock Futures Index© has outperformed the CNX Nifty Future over various periods on rolling monthly, rolling quarterly, rolling half yearly & rolling yearly basis.
Highly Representative of market exposure
Selected from over 300 listed stock futures traded at some point or the other since 2006, the Open Interest (OI) value of Technidex Stock Futures Index© has on an average been over 68% of the complete stock future universe. The Index thus comprises of stocks that have maximum market exposure & positions in terms of open interest.
Highly liquid in futures & cash segments
Futures Segment – The average daily turnover of Technidex Stock Futures Index© companies has been nearly 70% of the complete stock future universe turnover.
Cash Segment – The average daily cash market turnover of index constituents has been 11% higher than the turnover of S&P CNX Nifty constituents.
High liquidity in both segments ensures the Indexes can be replicated at a reasonably low impact cost.
Representative of large, mid & small cap stocks
The present set of Technidex Stock Futures Index© constituents has 37 stocks from Nifty, 11 from either Jr. Nifty or from Nifty Midcap 50 making it representative of entire market – large, mid & small cap stocks. The 50 index constituents represent 20 GICS industries.
Index Maintenance & Review
Technidex Stock Future Indexes© are owned by Technidex Capital Advisors (Copyright 2012 applied). The Indexes are maintained & updated on a daily basis with adjustments being made for corporate actions. The Indexes’ components are reviewed at the end of every calendar quarter. Changes to the composition are made at the end of trading hours on the last trading day of every March, June, September & December. The new set of index components will be announced before commencement of trading on the first trading day of every January, April, July & October.