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cac 40

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Financial Dictionary

CAC 40

The French stock market index that tracks the 40 largest French stocks based on market capitalization on the Paris Bourse (stock exchange).

Investopedia Commentary

The CAC 40 is used as a benchmark index for funds investing in the French stock market and also gives a general idea of the direction of the Paris Bourse. The CAC 40 is similar to the Dow Jones Industrial Average in that it is the most commonly used index that represents the overall level and direction of the market in France. At the time of writing (Aug 2005), the CAC 40 included such companies as Renault, Michelin, L'Oreal and Vivendi Universal.

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See also: Benchmark, Bourse, Dow Jones Industrial Average - DJIA, Exchange, Index, Market Capitalization, Weighted Average Market Capitalization

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Financial Dictionary

CAC 40

A market-capitalization-weighted index of the 40 most actively traded stocks on the Paris Bourse. CAC is short for Cotation Assiste en Continu.

Wall Street Words: An A to Z Guide to Investment Terms by David L. Scott.
Copyright © 2003. Published by Houghton Mifflin.
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