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What is the FTSE Italy STAR index?
The FTSE Italy STAR index is an important indicator of the Italian stock market, representative of all companies listed in the Euronext STAR Milan segment. This segment includes mid-capitalization companies that stand out for high criteria of transparency, liquidity and corporate governance, characteristics appreciated by investors looking for companies with solid management requirements and an international footprint. Companies included in this index, in fact, meet strict standards of transparency and advanced governance practices, making it a benchmark for evaluating the performance of Italy’s most innovative and reliable mid-sized companies.
History of the FTSE Italy STAR Index
The STAR segment was established in 2001 under the name “All Stars” and originally included two sectors: STAR and techSTARS, which included industrial and technology companies, respectively. Over time, with the closure of techSTARS, companies in this sector were merged into the STAR segment, unifying it. Later, the index took its current name FTSE Italy STAR through the merger between Borsa Italiana and the London Stock Exchange, further consolidating its importance in the Italian and international financial landscape. Currently, the FTSE Italy STAR index includes 76 companies that meet particularly binding standards to be part of this prestigious group.
Characteristics required for inclusion in the FTSE Italy STAR index.
Companies included in the FTSE Italy STAR index must comply with specific transparency, liquidity and corporate governance requirements, making this index a benchmark for investors oriented to security and clarity of information.
- Transparency in corporate communications: included companies must publish quarterly reports within 45 days of the close and maintain an updated website, available in both Italian and English. A dedicated investor relations officer is also required to facilitate communication and improve the accessibility of financial information.
- Stock liquidity: each company must ensure a certain degree of liquidity of its stock. For new companies, it is required that at least 35 percent of the share capital be free float and available to the public, while for already listed companies wishing to enter the STAR segment, the minimum free float percentage is 20 percent. This requirement ensures that investors can buy and sell shares without hindrance, promoting the stability and reliability of the FTSE Italy STAR index.
- Corporate governance: companies in the FTSE Italy STAR index must demonstrate a strong commitment to responsible and transparent management of corporate operations. The presence of independent directors on the board, the establishment of an audit committee composed of a majority of independent directors, and an incentive plan for executives and directors are required. These measures aim to ensure balanced and responsible management, protecting the interests of shareholders and contributing to the consolidation of a good reputation for companies in the stock market.
Giuseppe Fontana
I am a graduate in Sport and Sports Management and passionate about programming, finance and personal productivity, areas that I consider essential for anyone who wants to grow and improve. In my work I am involved in web marketing and e-commerce management, where I put to the test every day the skills I have developed over the years.
