Derived from a selection of FTSE Russell’s flagship market cap-weighted indexes, the FTSE Yield Weighted Indexes capture the performance of a predetermined number of the highest-yielding stocks from each underlying index. On a quarterly basis, constituents of the underlying index are ranked in descending order by 12 month dividend yield, and the fixed number of constituents are selected and weighted in proportion to their dividend yield. Constituent weights are capped at 5% to ensure a diversified yield composition.
Index rules should be read in conjunction with supportingFTSE Russell noticesThese notices advise of advance changes in index methodology, which may not be reflected in index rules until the change effective date. The notices may also communicate revisions in index treatment in the period up to a rule change.