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DAX Increase - Upwind or even less volatility ??

OANDA:DE30EUR   Germany 30
Hello trader,

The DAX is facing the biggest reform since it was introduced in 1988. In September next year, the German benchmark index is to be expanded from 30 to 40 corporations. In addition, companies will have to meet stricter regulations in the future - also in response to the Wirecard scandal.

On the other hand, after protests from investors and armaments companies, Deutsche Börse decided against the previously discussed banishment of companies that do business in controversial weapons, for example.

The new 10 stocks can be found in the diagram. 8 are already determined, the 10th candidate will be either beiersdorf or Qigen. While the US markets are behaving strongly, the DAX only moves 130 times a day, so I will concentrate on other markets in the near future.

ETF investors can stay relaxed: The changeover takes place automatically, without any active intervention. ETF providers will purchase securities based on the weights. The index will be calculated on the new basis from the reference date. The new companies will make up almost ten percent of the total DAX volume.

The switch is not a disadvantage for investors. A Dax ETF is suitable for optimizing your regional diversification in your portfolio - we recommend, however, a look at broader European indices such as the EuroStoxx 600, or take a look at the US markets, which are behaving very strongly the DAX only scores 130 points per day.

I would like to mention that all I post are just options and my own opinion !

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Thanks for reading my ideas,
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