divisor
Definition
A value used to ensure that the numerical value of an index does not change despite developments that alter its composition. The raw value of the index is divided by the divisor in order to calculate the normalized value. The divisor changes when the makeup of the index changes and neutralizes the change.
 Cite this definition
Related Terms
Dow Jones Industrial Average
'divisor
' appears in the definitions of these terms on BusinessDictionary.com
deflator
Related Research Articles from the InvestorGuide.com University
Stock ActionsWhat are the different types of stock actions? Read about dividends, splits, and buybacks. Learn the consequences and the reasoning behind these actions. 
Stock StrategiesLearn about various strategies for investing in stocks, including the “buy and hold approach,” analyzing market timing, and estimating a company’s potential for growth.
Stock ExchangesNYSE? AMEX? Nasdaq? OTCBB? Learn the origin and quirks of all the different exchanges. Also covers regional and foreign exchanges.
Related Resources from InvestorGuide.com
Stock of the Day NewsletterLearn about stocks that are making headlines today by signing up for our free newsletter. Stock Research ToolUsing our stock research tool, you have access to our stock tracker, quotes, interactive charts, news, analysis and profile information. Click here to use our stock research tool or enter a stock ticker here: Featured Sponsor
|
