Douglas :
>>I'm attempting to construct a Fibre Channel index to track the industry but am puzzled about weighting.<<
I am also working on a related project. My trading software allows me to build GROUPS of stocks, and roll them up into a higher level SECTOR and creates a price weighted index (like the DJIA) for the individual groups and the overall sector. This may or may not be the best index format but the software calculates the Group and Sector indicies based on a daily data download and somewhat mitigates Raymond's "tyrany of maintenance" comment which i do not take lightly <g>. It would allow comparrisons of the FC Sector to the DJIA, Nasadq, NDX, Russell 2000. etc on a percent change basis, as well as the individual Groups. My initial approach is to use the seven industry related groups from your "Fibre Channel on SI Index" work as a starting point. I will need to download some history on the stocks, and create the Group/Sector structure. I also need do some work to see if i can isolate the FC Sector from the rest of my data base for discrete reporting and rankings. This capability is not clear yet. The initial cut would look like this:
FC Sector:
Semi Group: LSI, VTSS, VLSI
Controller Group: ADPT, MYLX, QLGC
Hubs & Adapter Group: EMLX, INPH
Switches Group: ANCR
Storage Systems Group: ADIC, BXH, CPCI, DGN, EMC, MTIC, STK
Disk Drives Group: QNTM, SEG, WDC
Enterprise Computers Group: CPQ, DEC, HWP, IBM, SQNT, SGI, SUNW, UIS,
Due to the fact that FC is in it's early stages of deployment [still], i would also like to create a Group of HI Fibre Content stocks that have a significant portion of current revenues from FC. This would allow us to track FC momentum as an early indicator that the maket may be taking off. At this point i would include ANCR, EMLX, CPCI. Others?
Comments appreciated.
Regards,
Neil |
