FTSE 350 UK Market Index Overview

Highlights

• The ftse 350 merges both FTSE 100 and FTSE 250 indices.

• Covers a wide spectrum of UK-listed sectors and industries.

• Reviewed regularly to align with current market standards.

FTSE 350

The ftse 350 represents a significant portion of the UK’s listed equity market. It combines the top companies from the FTSE 100 and FTSE 250 indices, covering major sectors such as financial services, energy, healthcare, consumer goods, and industrials. This integration reflects both large and mid-cap segments of the economy, offering a comprehensive market snapshot of companies listed on the London Stock Exchange.

Index Structure and Composition

By bringing together the constituents of the FTSE 100 and FTSE 250, the ftse 350 offers broad exposure to companies ranked by market capitalization and liquidity. The index includes firms that operate globally as well as those with a more domestic presence. Weighting is based on free-float market capitalization, allowing a transparent and rules-based structure.

Sector Inclusion

The index spans multiple economic sectors, with financials, consumer goods, and energy often being dominant in terms of representation. Other sectors within the ftse 350 include healthcare, real estate, telecommunications, utilities, and industrial manufacturing. This diverse composition makes the index an effective reflection of economic activity across multiple industries.

Eligibility Criteria

To be part of the ftse 350, companies must meet defined standards related to listing, liquidity, and market capitalization. All firms must be listed on the London Stock Exchange with sterling-denominated shares. Only companies meeting these eligibility requirements are included during the scheduled review process.

Trading Characteristics

Firms within the index tend to have high liquidity and stable pricing behavior. This enhances market efficiency and supports consistent volume across listed securities. The diversified nature of the ftse 350 also helps maintain balanced exposure across different parts of the UK economy.

Market Application

The ftse 350 serves as a widely referenced performance benchmark for the UK equity space. It provides insights into the collective movement of both large and mid-sized companies and supports various market-monitoring activities. Its wide adoption is driven by its breadth, sector balance, and consistency in methodology.

Governance and Review

The index is reviewed on a scheduled basis to ensure continued relevance. During each review, companies are assessed against defined rules to determine inclusion or exclusion. These updates ensure that the ftse 350 remains aligned with current market dynamics while preserving structural transparency.