FTSE JSE Africa Index Series Ground Rules v3.0x

Section Subject
Table of Contents
1. Introduction .......................................................................................................... 3
2. Management of the Indices .................................................................................. 6
2.1 FTSE/JSE Advisory Committee .............................................................................. 6
2.2 FTSE/JSE Responsibilities ..................................................................................... 7
3. Management of the Ground Rules ........................................................................ 8
3.1 Amendments and Exceptions ................................................................................ 8
4. Index Construction ............................................................................................... 9
4.1 Eligible Securities .................................................................................................. 9
4.2 Secondary Lines .................................................................................................... 9
4.3 Free Float .............................................................................................................. 9
4.4 Liquidity .............................................................................................................. 11
4.5 Index Qualification Criteria ................................................................................. 12
5. Periodic Review of Constituent Companies ........................................................ 18
5.1 Review Dates ...................................................................................................... 18
5.2 Responsibilities and Reporting ........................................................................... 18
5.3 Rules for Insertion and Deletion at the Quarterly Review ................................. 18
5.4 Monitoring of Eligible Companies ....................................................................... 19
5.5 Reserve Lists ....................................................................................................... 19
6. Changes to Constituent Companies .................................................................... 20
6.1 Removal and Replacement.................................................................................. 20
6.2 Mergers, Restructuring and Complex Takeovers ................................................ 20
6.3 New Issues .......................................................................................................... 22
6.4 Suspension of Dealing ......................................................................................... 22
6.5 Relisting of Suspended Constituents .................................................................. 23
6.6 Changes to Constituent Weightings.................................................................... 23
7. Industry Classification Benchmark ..................................................................... 24
7.1 Classification of Constituents within Industries and Sectors ............................. 24
7.2 Changes to Industry Classification of Constituents ............................................ 24
7.3 Industry Classification Benchmark Committee .................................................. 24
8. Index Calculation ................................................................................................ 25
8.1 Index Algorithm .................................................................................................. 25
9.-15. Appendices ..................................................................................................... 26-37
Ground Rules for the Management of the FTSE/JSE Africa Index Series 2
Version 3.1 July 2013