DAX Performance-Index Constituents & Analysis (INDEXDB: DAX)

Is the DAX a Buy, Sell or Hold?

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DAX PERFORMANCE-INDEX (INDEXDB: DAX)
Dax Trading

Provider: DAX 40

Verdict: The German DAX index is a blue-chip index comprises of 40 major German companies listed in the Frankfurt SE (expanded from 30). Many traditional industrial and auto manufacturers are included here (20 percent weighting), such as Benz, BMW, Porsche, Volkswagen. The index has been on a cyclical bull trend since 2009. Net dividend yield approaches 4 percent.

View:

Long-term bullish; index rebounds to its range highs for a potential upside breakout.

Pros

  • Exposure to blue-chip German companies
  • International focussed – DM and EM
  • Steady growth and good yield

Cons

  • Large-cap focussed
  • Narrow constituent base (40)
  • Low on Big Tech
  • Outlook
    (4)
Overall
4
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