Versions Compared

Key

  • This line was added.
  • This line was removed.
  • Formatting was changed.

The ratio gives an indication of how many constituents are replaced and added over a period of timeyear

It is computed as

LaTeX Math Block
\text{Turnover ratio} = \frac{\text{max(# of companies added in the year, # of companies removed in the quarteryear)}}{\text{average number of companies over the quarteryear}}