Home > Glossary > FTSE

Meaning / Definition of

FTSE

Categories: Business and Management, Global, Stocks,

An abbreviation of the financial times stock exchange (Index), commonly referred to verbally as 'footsie'. There are various FTSE indices (indexes), including most notably the FTSE 100, which is the index of the top 100 shares on the london stock exchange, whose movement is regarded as an important indicator of national (and wider) economic health and buoyancy. The FTSE 100 represents about 80% of the market capitalization of all shares listed on the london stock exchange, which is interesting considering over 3,000 companies are listed in total. For Pareto enthusiasts (the '80-20 Rule') that's 3.3% of listed companies, accounting for 80% of total market value of companies listed on the london stock exchange, which is even by Pareto standards an extreme ratio of concentration. When economic commentators say the "...the footsie is up/down (a number of points)..." this is a reference to the relative movement of share prices among the companies listed in (usually) the FTSE 100. The 'footsie' is owned and operated by FTSE Group, which is basically a provider of economic information and data services, especially about stock and commodity exchanges. FTSE Group was until 2012 50% owned by Pearson Group (owners of the financial times newspaper group) and 50% by the london stock exchange, the latter buying full ownership from Pearson in 2012. It is not likely that the 'financial times' origins of the FTSE abbreviation will be strongly acknowledged in future, given its change of ownership.

Featured term of the day

Definition / Meaning of

Highest And Best Use

Categories: Real Estate,

Key appraisal and zoning principle employed in valuing any parcel of land or property. Since the value of a property and its use are closely linked, its highest and best use is that which results in the highest present value, and brings in the greatest net return over a given period or the foreseeable future - within the applicable constraints. The value of, and return on, a property are related to its surrounding environment so its use has to be consistent with the neighboring land use. Because a property's value is influenced by the local competitive and political forces, the timing of the property development is another critical factor. And, especially in metropolitan areas, where a property can be put to several different uses, its combination of uses is very important. A highest and best use appraisal must take these four factors into consideration: (1) legal permissibility, (2) physical possibility, (3) financial feasibility, and (4) maximum productive use. However, even the most detailed appraisal is simply a considered opinion of an appraiser, not the final word.

Most popular terms

1. Information Disclosure Statement (IDS)
2. Education Savings Account (ESA)
3. Floating Rate
4. Health Savings Account (HSA)
5. SIMPLE
6. FACT Act (Fair And Accurate Credit Transactions Act)
7. Section 8 Declaration Of Excusable Nonuse
8. Call Option
9. Option Backdating
10. CollegeSure CD

Search a term

Keyword:

Browse by alphabet

ABCDEFG
HIJKLMN
OPQRSTU
VWXYZ#

Browse by category

Accounting
Banking
Bankruptcy Assistance
Bonds and Treasuries
Brokerages
Business and Management
Compliance and Governance
Credit and Debt
E-commerce
Economics
Estate Planning
Forex
Fraud
Fundamental Analysis
Futures
Global
Insurance
International Trade
Investing and Trading
Ipos
Legal
Loan and Mortgage
Mergers and Acquisitions
Mutual Funds
Operation and Production
Options
Patent
Personnel Management
Real Estate
Retirement and Pension
Statistics and Risk Management
Stocks
Strategies
Tax
Technical Analysis
Venture Capital