S&P/TSX Canadian Indices Methodology
Index Objective
The S&P/TSX Canadian Indices measure the performance of various segments of the Canadian equity markets. The headline and broadest index is the S&P/TSX Composite. This is the basis for numerous sub-indices, which break down the Canadian market by different factors including size and Global Industry Classification Standard (GICS®).
Partnership
The S&P/TSX indices are calculated and managed by S&P Dow Jones Indices. The TMX Group Inc. (TMX) is the owner and distributor of all S&P/TSX equity index data.
Highlights
The S&P/TSX Composite is the principal broad market measure for the Canadian equity markets. It includes common stocks and income trust units. The S&P/TSX SmallCap Index is a completely separate index from the S&P/TSX Composite family of indices.
S&P/TSX Composite Index Family. Within the S&P/TSX Composite, the S&P/TSX 60 covers large cap securities. The S&P/TSX Completion represents the remaining securities of the S&P/TSX Composite.
S&P/TSX SmallCap Index provides an investable index for the Canadian small cap market. It includes common stock and income trusts and is calculated in real-time.
S&P/TSX Income Trust Indices. The S&P/TSX Income Trust Index is a modular component of the S&P/TSX Composite. The index contains all of the income trust constituents from its parent index, the S&P/TSX Composite. Constituents of this index are not capped. The S&P/TSX Income Trust Index, in turn, is the parent index of the S&P/TSX Capped REIT Index. The relative weight of any single index constituent is capped at 25% for this index.
S&P/TSX Capped Sector Indices. Twelve real-time capped indices covering sectors or industries are calculated from the securities in the S&P/TSX Composite. These indices are defined using GICS. To be a constituent of a particular sector index, a stock must be a constituent of the S&P/TSX Composite and classified in the relevant GICS category. Constituents of the S&P/TSX Capped Information Technology Index are derived from both the S&P/TSX Composite and S&P/TSX SmallCap Index. The relative weight of any single index constituent is capped at 25%.
S&P Dow Jones Indices also publishes end-of-day Sector, Industry Group, Industry and Sub Industry Indices based on the S&P/TSX Composite.
S&P/TSX Capped Indices. S&P Dow Jones Indices calculates capped versions of several headline indices.