Presentation
The Brazil Broad-Based Index (IBrA) is compiled as a weighted average of a theoretical portfolio of stocks pursuant to criteria set forth in this methodology.
The indices compiled by B3 adopt concepts and practices set forth in the Concepts and Practices Manual for B3 Indices.
Objective
The IBrA is designed to gauge the stock market's average performance tracking changes in the prices (by round lots) of all stocks actively traded on the cash market operated by BM&FBOVESPA (as long as certain minimum liquidity and active trading criteria are met), so as to offer a broad-based view of the stock market as a whole.
Index type
The IBrA is a total return index (see the Concepts and Practices Manual for B3 Indices).
Eligible stocks
The IBrA is composed exclusively of shares and units representing shares of B3-listed issuers that meet the inclusion criteria set forth below.
The index universe excludes Brazilian Depositary Receipts (BDRs) and shares of issuers under judicial or extrajudicial reorganization, government- or court-ordered administration or intervention, as well as shares otherwise designated to be under exceptional trading status (see the Concepts and Practices Manual for B3 Indices).
Methodology Construction
| Universe |
Shares and units representing shares |
| Selection Criteria |
Being amongst the eligible stocks that account for 99% in descending order by individual tradability ratio (IN); Traded in 95% of the trading sessions; and do not be a penny stock. |
| Weighting scheme |
market value of free float / cap 20% |
| Type of Return |
Total (BRL) |
| Reconstitution |
Quartely (jan, may, sep) |