Al Arabi Oman 20 Index update for 2012

25/03/2012 21:12 AST

Al Arabi Oman 20 Index comes as an indicator of the only and first index in the Sultanate which is designed specifically to reflect the stock performance primarily through profitability and liquidity in addition to other key indicators of Muscat Securities Market.

This represents an innovative approach through review of the movement of share prices of listed companies in an objective way and is based on high liquidity, profitability and paid-up capital of the companies with less weightage to the percentage of market capitalisation.

The pointer strives to be a standard to benefit specialists ranging from managers, portfolio analysts and investment funds during the allocation of their funds to different investment portfolios. The index measures and studies the performance of these portfolios and funds in ways that is more accurate and transparent, which helps in making strategic investment decisions.

The foremost objective of the Investment Management Group of Oman Arab Bank SAOC is to continue providing required services that meet the needs of investors and maintain the highest level of quality standards.

Al Arabi Oman 20 Index like other global indices, in terms of scale and adjusted data, will be updated annually (every March).

The composition of the index depends on provision for companies in the sample which are listed on MSM for at least one year and have three years financial statement.

The index consists of 20 stocks transparently selected and are assigned weightage based on market capitalisation for adjusting prices for index purposes. The benchmark value of the index was kept at 1,000 points when started in December 2009.

Oman Daily Observer