Dow Jones Indexes Launches Global Food 100 Index.Business Editors NEW YORK New York, state, United States New York, Middle Atlantic state of the United States. It is bordered by Vermont, Massachusetts, Connecticut, and the Atlantic Ocean (E), New Jersey and Pennsylvania (S), Lakes Erie and Ontario and the Canadian province of & PRINCETON, N.J.--(BUSINESS WIRE)--Oct. 10, 2000 Dow Jones Indexes today announced the launch of the Dow Jones Global Food 100 Index, a custom index that covers the world's top food, beverage and agri-business companies. The index was created expressly for R.J. O'Brien & Associates, Inc., a leading global food and agriculture commodity trading firm and founding member of the Chicago Mercantile Exchange Chicago Mercantile Exchange (CME) Chicago Mercantile Exchange (CME) is the largest futures exchange in the United States and the second largest exchange in the world for the trading of futures and options on futures. (CME CME See: Chicago Mercantile Exchange CME See Chicago Mercantile Exchange (CME). ). R.J. O'Brien introduced an investment fund based on the index on October 1, 2000. Included in the Global Food 100 Index are one hundred companies that generate at least one-half of their revenues from food-related businesses. The index is market capitalization Market Capitalization A measure of a public company's size. Market capitalization is the total dollar value of all outstanding shares. It's calculated by multiplying the number of shares times the current market price. This term is often referred to as market cap. weighted; however, weights are capped at 10% during each annual review to prevent dominance by such giants as Coca-Cola and Nestle. The Global Food 100 Index is an example of a custom index created to meet an institution's individual needs. Such customer-defined indexes are derived from Dow Jones Indexes' Global Index family, which covers 34 countries and provides 95% coverage of developed markets and 80% coverage of emerging markets. Typically, custom indexes are built to include specific market sectors, industry groups, countries and/or regions. "R.J. O'Brien was looking for Looking for In the context of general equities, this describing a buy interest in which a dealer is asked to offer stock, often involving a capital commitment. Antithesis of in touch with. a measure that would track leading food and agriculture companies, and provide a performance benchmark," said Michael A. Petronella, Managing Director of Dow Jones Indexes. "This index accomplishes both of these goals, utilizing a consistent and unbiased methodology that ensures long-term integrity." The Global Food 100 Index includes companies from only the following industry groups: Agriculture, Distillers & Brewers, Soft Drinks, Food Manufacturers, Food Retailers & Wholesalers, Biotechnology and Heavy Machinery. The index's total market capitalization Total Market Capitalization The total market value of all of a firm's outstanding securities. is currently about $1.0 trillion. Dow Jones Indexes is a premier global provider of investable indexes, including the Dow Jones Averages Dow Jones Averages A trademark used for three indexes of the relative price of selected industrial, transportation, and utility stocks based on a formula developed and periodically revised by Dow Jones & Company, Inc. , the Dow Jones Global Titans The Dow Jones Global Titans 50 Index was created to reflect the globalization of international blue chip securities in the wake of mergers and the creation of mega-corporations. Index, the Dow Jones Total Market Index Series, the Dow Jones Global Indexes The Dow Jones Global Indexes (DJGI) are a family of real time international equity indexes, including world, region, and country indexes and economic sector, market sector, industry-group, and subgroup indexes. , the Pan-European Dow Jones STOXX Indexes, the Dow Jones REIT REIT See: Real Estate Investment Trust REIT See real estate investment trust (REIT). Indexes, the Dow Jones-AIG Commodity Index The Dow Jones-AIG Commodity Index [DJ-AIGCI] is a broadly diversified index that allows investors to track commodity futures through a single, simple measure. The DJ-AIGCI is composed of futures contracts on physical commodities. , the Dow Jones Islamic Market Indexes, the Dow Jones Internet Indexes, the Dow Jones Extra Liquid Series and the Dow Jones Sustainability Group Indexes. Dow Jones Indexes is part of Dow Jones & Company, which publishes the world's most vital business and financial news and information. In addition to Dow Jones Indexes, Dow Jones & Company (NYSE NYSE See: New York Stock Exchange :DJ; dj.com) publishes The Wall Street Journal and its international and online editions, Barron's and SmartMoney magazines and other periodicals, Dow Jones Newswires Dow Jones Newswires is the real-time financial news organization owned by Dow Jones. Founded in 1882, its primary competitors are Bloomberg L.P. and Reuters. The company reports more than 420,000 subscribers -- including brokers, traders, analysts and fund managers -- as of July , Dow Jones Indexes, and the Ottaway group of community newspapers. Dow Jones is co-owner with Reuters Group Plc. of Factiva, with Excite@Home of Work.com, and with NBC NBC in full National Broadcasting Co. Major U.S. commercial broadcasting company. It was formed in 1926 by RCA Corp., General Electric Co. (GE), and Westinghouse and was the first U.S. company to operate a broadcast network. of the CNBC CNBC Center for the Neural Basis of Cognition (artificial intelligence) CNBC Consumer News and Business Channel CNBC Congress of National Black Churches, Inc. television operations in Asia and Europe. Dow Jones also provides news content to CNBC and radio stations in the U.S. R.J. O'Brien & Associates, Inc. has more than eighty years of experience in dealing with the world's top food and agricultural companies. Originally established in 1914 as an agricultural trading house, the company has grown to accommodate the full spectrum of agricultural and financial risk management instruments, serving a worldwide clientele of more than 60,000 customers. Today, R.J. O'Brien is a recognized leader in the global futures industry and an innovator with respect to new financial products. KEY FACTS Dow Jones Global Food Index Index value history and index component history available back to January 1, 1992, when a base value of 100 was assigned. Top 20 Index Components As of September 29, 2000 Company Country Index Weighting (%) Coca-Cola Co. U.S. 9.9 Nestle SA Switzerland 6.7 PepsiCo Inc. U.S. 5.6 McDonald's Corp. U.S. 3.6 Anheuser-Busch Cos. U.S. 3.6 Diageo PLC U.K. 3.0 Unilever NV Netherlands 2.8 Tesco PLC U.K. 2.6 Safeway Inc. U.S. 2.4 Royal Ahold NV Netherlands 2.2 Groupe Danone France 2.1 BestFoods U.S. 2.1 Unilever PLC U.K. 2.0 Kroger Co. U.S. 2.0 Sara Lee Corp. U.S. 1.9 Heineken NV Netherlands 1.8 Sysco Corp. U.S. 1.7 H.J. Heinz Co. U.S. 1.4 Cadbury Schweppes PLC U.K. 1.3 Campbell Soup Co. U.S. 1.2 Geographic Diversification As of September 29, 2000 Country Stock Number Weighting (%) U.S. 37 54.20 U.K. 14 13.79 Switzerland 1 8.56 Netherlands 5 8.35 Japan 16 5.14 France 5 4.00 Canada 3 1.66 Australia 4 1.16 Mexico 3 0.67 Belgium 2 0.42 Denmark 2 0.36 Greece 1 0.32 Portugal 1 0.30 Brazil 1 0.28 Ireland 1 0.23 Italy 1 0.23 South Africa 1 0.13 New Zealand 1 0.11 Philippines 1 0.08 NOTE: A chart providing industry group breakdown is available by contacting Sybille Reitz at sybille.reitz@dowjones.com. |
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