Price weighted index and self rebalancing

Price weighted index and self rebalancing. Anyone explain this concept ?

only volume weighted/float adjusted are self rebalancing types i think

you still have to rebalance for float adjustments

self balancing means you dont need to rebalance which is the case with value weighted(except for dividend) wherein price adjust/equal weigted needs be periodically rebalanced to be in comformity.

Why do you need to rebalance price weighted index? B/c of dividends or stock splits?

tanyusha Wrote: ------------------------------------------------------- > Why do you need to rebalance price weighted index? > B/c of dividends or stock splits? stock splits would for sure

Ok, makes sense. comp_sci_kid, are you on this forum 24/7?

tanyusha Wrote: ------------------------------------------------------- > Ok, makes sense. > comp_sci_kid, are you on this forum 24/7? Tanyusha did you go to Pace unv?

no, why? i went to high school in brooklyn though

tanyusha Wrote: ------------------------------------------------------- > no, why? i went to high school in brooklyn though nm, just knew a girl named Tanya from Pace who is also taking CFA ( i saw her at L1, dunno if she made it to 3 tho). so ask any other questions while i am here. I am about jet soon.

where did you go to school? i don’t have any questions yet, i am just going through all todays posts…

i have a question. Schweser PM 3 17.2. Answer is incorrect but their explanation is clearly states that the statement was actually correct. I am not getting it (probably late) I went to private Yeshiva

Sorry, I have not done it yet and probably won’t for another week or so. Private Yeshiva - hmm, not the one on ave J?

Nah, not that one, there are plenty in Brooklyn :). Doh :frowning: Sometimes i just dont understand schweser. I read explanation and tha tis exactly what i thought but the choice they say is correct states the opposite. Sometimes i just dont get it :-/

Go to sleep! :slight_smile:

tanyusha Wrote: ------------------------------------------------------- > Go to sleep! :slight_smile: nah, going for a walk with my wife soon. I almost pay no attention to her recently cause of this exam :-/