Too embarrassed to ask: what is an index?

The FTSE 100 is probably the best-known stockmarket index in the UK. But what exactly is an index?

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Even if you couldn’t care less about investing, you’ve probably heard of the FTSE 100. The FTSE 100 is the best-known stockmarket index in the UK. In effect, it sums up the fortunes of Britain’s biggest listed companies into one single number, by combining them all into one hypothetical portfolio.

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