J225 JAPANThe Nikkei 225, also known as the Nikkei Stock Average, is a stock market index for the Tokyo Stock Exchange (TSE). It is a price-weighted index comprised of 225 highly capitalized and liquid publicly owned companies in Japan from a wide array of industry sectors. The index is a key indicator of the Japanese stock market and the performance of the Japanese economy.
The index includes companies from various sectors such as technology, automotive, finance, retail, and healthcare. This broad representation ensures that fluctuations in the index reflect the overall performance of Japan's economy.
Automotive Powerhouse and Renowned automobile manufacturers such as Toyota Motor Corporation and Honda Motor Co., Ltd., are prominently featured in the Nikkei 225 Index.
Financial Institutions like Mitsubishi UFJ Financial Group Inc., Sumitomo Mitsui Financial Group Inc., and Mizuho Financial Group Inc., form an integral part of the Nikkei 225 Index.
Global Giants and as well multinational corporations with a significant global presence are included in the Nikkei 225.
The Nikkei 225 is a price-weighted index, meaning that each component's weight is determined by its stock price rather than its market capitalization. However, companies with larger market capitalizations tend to have a greater influence on the overall index movement.
Review of Components of the index are done annually by the Nihon Keizai Shimbun (Nikkei) to keep correct status of each member.