SOFIA (Bulgaria), September 8 (SeeNews) – The Bulgarian Stock Exchange (BSE) said on Friday it has corrected the revised composition of its main share index, the SOFIX, after it discovered an error in the algorithm used in the calculation of the median weekly turnover of share issues.
Following the correction, fertiliser producer Neochim [BUL:3NB] will remain a constituent of the SOFIX index, while construction company Trace Group Hold [BUL:T57] will not enter the index, the BSE said in a statement.
No other corrections were made to the revised composition of the SOFIX announced by the BSE on Thursday and due to take effect as of September 18. The SOFIX index tracks the 15 most liquid shares on the BSE.
As originally announced, aluminium producer Alcomet [BUL:6AM], Holding Varna [BUL:5V2] and Industrial Capital Holding [BUL:4I8] will be excluded from the SOFIX. They will be replaced by software developer Sirma Group Holding [BUL:SKK], diversified conglomerate Doverie United Holding [BUL:5DOV] and Industrial Holding Bulgaria [BUL:4ID].
On Thursday, the BSE said in a statement that it will introduce changes to the composition of the SOFIX, as well as the broader BG BX40, BG REIT and BG TR30 indices, to take effect as of September 18.
The following issues will be removed from the BGBX40 index base: Elhim Iskra [BUL:52E], Bulgarian American Credit Bank [BUL:5BN], Speedy [BUL:0SP] and FairPlay Properties [BUL:6F3].
Korado Bulgaria [BUL:4KX], Oil and Gas Exploration and Production [BUL:4O1], Bulland Investments [BUL:5BD], Sparky Eltos [BUL:SL9] will be added to the the BGBX40 index.
Roi Property Fund [BUL:RPRA] will enter the BGREIT index, replacing Aktiv Properties [BUL:5AX]. The BGREIT index tracks the performance of real estate investment trusts.
Four components of the BG TR30 - Investor.BG [BUL:4IN], Sila Holding [BUL:6S5], Sopharma Properties [BUL:6S6], Synergon Holding [BUL:6S7] - will be removed from the index, and as many will be added. The new entrants into the BG TR30 are Galata Investment Company [BUL:GTH], Himsnab Bulgaria [BUL:58E], Regala Invest [BUL:RGL], Odessos Shiprepair Yard [BUL:5ODE].
The BG TR30 index tracks companies with a free float of at least 10%, with its components having equal weight.
This is the first revision after the BSE amended its index calculation rules in June. According to the new rules, companies will be admitted to the blue-chip SOFIX index based on three additional criteria – the highest number of trades for the last six months, the highest median value of the weekly turnover throughout the past six months, and the lowest average value of the bid-ask spread.