Technidex focuses on developing stock market indexes using (proprietary) documented & Copyright protected Index Construction & Computation Methodology to analyze the markets differently.
Equity indexes are most commonly used for asset modeling, performance benchmarking, and as the basis for passive investment vehicles including index funds, ETFs, and derivatives. An index is a portfolio that should represent the performance of a given segment of the market.
Index futures in the derivatives segment are based on their underlying index. For many years, adjusted free-float equity cap-weighted indexes have been used as a default option for representative portfolios as well as for efficient benchmarks. Hence, the index futures are merely representing the adjusted free-float equity market cap while incorporating the prevailing Cost of Carry. They do not actually represent the futures (derivative) segment since very often, the trading / positional activity & interest is in stocks which are not part of the underlying index, hence, their activities don’t get reflected in the index future.
Technidex Stock Futures Indexes© 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 designed on our (proprietary) documented & Copyright protected Index Construction & Calculation Methodology.
With a base of 1000 on January 2, 2006, Technidex Stock Futures Indexes© have adequate historical data and are an ideal bench-mark for tradeable exposure to Indian stock futures & their underlying stocks. They take into account the price movement of not only the current month future but all active futures (current, near & far month contracts) of the index components, their underlying stocks and simultaneously compute the prevailing Cost of Carry & Delivery % of the Index.