FTSE 100 Index
The FTSE 100 Index, or Financial Times Stock Exchange 100 Index, is a stock market index representing the performance of the 100 largest companies listed on the London Stock Exchange (LSE) based on market capitalization. It is one of the most widely followed equity indices in the world and serves as a benchmark for the overall health and direction of the UK stock market.
Established in 1984, the FTSE 100 is maintained by the FTSE Russell, a subsidiary of the London Stock Exchange Group. The index is calculated in real-time and is weighted by market capitalization, meaning that larger companies have a greater influence on its movements.
The FTSE 100 includes companies from various sectors such as finance, energy, healthcare, and consumer goods, offering a diverse snapshot of the UK and global economy.
Fluctuations in the FTSE 100 are often influenced by global economic conditions, geopolitical events, and changes in commodity prices, making it a crucial indicator for international investors.
The FTSE-100 Index in effect reflects the prices of the biggest companies listed in London, regardless of nationality.
The index does not provide comprehensive exposure to companies with a strong UK bias, as many large international corporations are included in the index. Typical examples include HSBC (global banking giant), Royal Dutch Shell (Netherlands oil company) and Antofagasta (Chilean miner). Many foreign or global companies like to list in London as this helps them to raise capital via a UK share issue.
The index uses a free float methodology to determine the impact of individual share prices on the daily performance of the index. This means only shares that are being traded freely count towards the capitalisation figure, not shares held by insiders or other strategic shareholdings.
The components of the index are reviewed every quarter. Companies in the FTSE 250 index, which have reached a capitalisation that would place them in the top 90 companies in the FTSE 100 Index, are promoted.
The index opens at 08.00 UK time, and closes at 16.30. Some market makers will continue to quote prices on this index both in advance of the opening time, and after closing time, as there are also futures contracts available to trade outside normal trading hours.
The FTSE 100 Index is readily available to traders online as a Contract for Difference, Futures contract or Exchange Traded Fund. UK residents can trade the index through a tax-free Spread Betting broker.
The FTSE 100 is also a popular index for use with index-linked investment products, including guaranteed products, that are frequently sold by retail banks.
There are a number of ways in which investors can gain exposure to the FTSE 100 Index. Exchange Traded Funds or ETFs will track the performance of the index at a relatively low cost with the added benefit of paying dividends. This means that investors will enjoy the effects of compounding over the longer term.
Invest in the FTSE 100 Index with these ETF platforms
| Provider | Deposit | Fees | ISAs | Investment Options |
|---|---|---|---|---|
Interactive Brokers | £1 initial deposit | no platform fee £3 per trade | Stocks & Shares ISAs Junior ISAs | UK Shares Non-UK Shares Funds ETFs |
| £3 / €3 per trade for Western European stocks, with no added spreads, account minimums or platform fees. Pricing on US stocks starts at just USD 0.005 per share. There is a minimum monthly activity fee of £3 | ||||
Charles Stanley Direct | £500 initial deposit £50 monthly minimum | 0.30% platform fee £10 per trade | Stocks & Shares ISAs Junior ISAs | UK Shares Funds ETFs Bonds |
| Minimum charge of £5, maximum of £50 per month for all individual accounts held with Charles Stanley Direct. £10 transaction fee on shares, £4 for funds. £50 of trading credits available every six months from October 2024. | ||||
IG | £500 initial deposit £50 monthly minimum | £96 platform fee £8.00* per trade | Stocks & Shares ISAs | UK Shares Non-UK Shares Funds ETFs Robo Advisor |
| Trade 3+ stocks per month for active trader cost of £3.00 on UK stocks. Clients holding investments will be charged a platform fee of £8 per month which can be offset against a trade over the period. IG's Smart Portfolio's are a low cost option for those who are unsure where to invest their money. | ||||
Hargreaves Lansdown | £100 initial deposit £25 monthly minimum | 0.45% platform fee £11.95* per trade | Stocks & Shares ISAs Junior ISAs Lifetime ISAs | UK Shares Non-UK Shares Funds ETFs Bonds Robo Advisor |
| Trade 10+ stocks per month for active trader cost of £8.95 or 20+ at £5.95. Additional charge of up to £45 per annum on stocks and shares. There's no dealing charge for buying or selling funds but you'll pay a holding fee of up to 0.45% per annum. Ready-made portfolios are available for investors that are unsure where to invest their money for an additional fee. | ||||
For short term exposure to the FTSE 100 Index, traders can use Contracts for Difference or CFDs to track the index. CFDs provide an opportunity for traders to make trades on a rising or falling index. UK investors may prefer to trade with a spread betting provider where any gains are tax free.
Trade the FTSE 100 Index with these CFD brokers
| Broker | Minimum Deposit | Markets | Products |
|---|---|---|---|
Pepperstone | £0 | Bonds Commodities Currencies Indices Stocks & Shares | CFDs FX Spread Betting |
| With a strong focus on the trading experience, industry leading technology, low costs and award-winning client support, we feel that Pepperstone is a good option for the more established high volume day trader. | |||
FP Markets | $100 | Bonds Commodities Currencies Indices Stocks & Shares | CFDs FX |
| FP Markets is an established ASIC, CySEC FSP and CMA regulated broker. They offer access to the industry leading MetaTrader platforms and provide pricing directly from the market meaning fast execution and transparent pricing. A 24/7 multilingual client support service has won recognition through the highly respected Investment Trends awards. | |||
Plus500 | $100 | Commodities Currencies Indices Stocks & Shares | CFDs Futures |
| Plus500 Ltd has a premium listing on the Main Market of the London Stock Exchange since 2018 (symbol: PLUS) and is a constituent of the FTSE 250 index. Also, the UK subsidiary - Plus500UK Ltd is authorised and regulated by the Financial Conduct Authority (FRN 509909). The broker offers access to CFDs on Commodities, Forex, Stocks, ETFs, Options and Indices; Real Shares (Available in certain EU countries only); and Futures (Available in the US only). This broker has +26 million registered customers across 50 countries. Risk Warning: CFDs are complex instruments and carry a high risk of losing money quickly due to leverage. 80% of retail investor accounts lose money when trading CFDs with this provider. Consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money | |||
Futures are derivative contracts that set a specific price for the sale of an asset at a specific time in the future. A futures contract is a legal agreement between two parties to buy or sell an asset at a predetermined price on a future date. It’s a binding commitment traded on exchanges like CME Group.
- Read our beginner’s guide to Futures
- Find out more about Options
- Take our free online Equities Indices Trading Course
Trade the FTSE 100 Index with these Futures Brokers
| Broker | Minimum Deposit | Markets | Products |
|---|---|---|---|
| Plus500 | $100 | Commodities Currencies Indices Stocks & Shares | CFDs Futures |
| Plus500 Ltd has a premium listing on the Main Market of the London Stock Exchange since 2018 (symbol: PLUS) and is a constituent of the FTSE 250 index. Also, the UK subsidiary - Plus500UK Ltd is authorised and regulated by the Financial Conduct Authority (FRN 509909). The broker offers access to CFDs on Commodities, Forex, Stocks, ETFs, Options and Indices; Real Shares (Available in certain EU countries only); and Futures (Available in the US only). This broker has +26 million registered customers across 50 countries. Risk Warning: CFDs are complex instruments and carry a high risk of losing money quickly due to leverage. 80% of retail investor accounts lose money when trading CFDs with this provider. Consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money | |||
| Interactive Brokers | $0 | Bonds Commodities Currencies Indices Stocks & Shares | CFDs ETFs FX Futures ISA Stocks & Shares |
| Interactive Brokers is one of the world’s leading futures brokers with the ability to offer direct market access to a range of securities. With previous personal experience of trading with this broker, The Armchair Trader knows that they offer excellent platform stability, an excellent range of markets, and solid customer support | |||
| IG | £0 | Bonds Commodities Currencies Indices Stocks & Shares | CFDs ETFs FX Futures ISA Spread Betting Stocks & Shares |
| Widely recognised as the largest broker of its kind for CFDs and Spreadbetting, IG has now expanded its services to include Equities and ETF trading. Their range of markets is wide reaching while both trading and share dealing costs are low. We really like their Smart Portfolio's which are ideal for inexperienced investors to gain exposure to the markets. Clients will get 4.5% AER variable interest on uninvested GBP balances up to £100,000. With deeper pockets to invest in their services than most brokers, IG's platform suite and trading support tend to lead the way. IG is a good all-rounder for novice through to experienced traders and investors. Risk Warning: Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money. | |||
FTSE 100 Index ETFs
 | FTSE 100 1x Daily Short | FTSE 100 LON:SUK1 / GBP |    |
| FTSE 100 3x Daily Leveraged | FTSE 100 LON:3UKL / GBP | |
| FTSE 100 3x Daily Short | FTSE 100 LON:3UKS / GBP | |
FTSE 100 Stock reports
BP vs Shell: Which energy major should investors back in 2025?
HSBC vs NatWest: Which stock should you be banking on in 2025?
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FTSE 100 Index Insight
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In this podcast, we speak with Patrick Munnelly, Market Analyst at Tickmill about investing and trading the FTSE 100 Index
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The FTSE 100 broke above the 8000 for the first time in its history this week, leaving investors wondering if it has legs for a further rally.
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Investors were buying back into Kainos shares early this week as they woke up to the fact that it is still making money.
