As the increase in the components of the DAX Index also means that traders with positions in the index will benefit from greater diversification in their investment portfolio and is an essential part of an effective risk management strategy, this greater level of diversification reduces the ability of individual companies to influence the overall value of the index.
In addition, the new companies have lower market capitalization than the previous companies of the DAX, which means that the index has greater potential for growth in the future than before.
The Dax 40 index represents the market value of a group of the largest companies in Germany, such as BMW – Adidas – Siemens – Deutsche Bank in terms of turnover.
The Dax40 index also includes other companies such as banks, clothing manufacturers, pharmaceuticals, medical supplies, chemicals, and others.
Investors can trade on the TNFX DAX, with the symbol GER30, with extremely low and competitive spreads and very low spreads. You can start by:
Create your real account with TNFX.
Log in to your real account on the platform.
Start investing in the DAX 40 Index.