The RAFI (Research Affiliates Fundamental Index) indices were launched in association with Research Affiliates and reflect the performance of the constituents by fundamental values.  Both the RAFI index constituents and their weights are derived from company fundamentals.  The four fundamental factors are sales, cash flow, book value and dividends.

For further details regarding the FTSE/JSE RAFI indices and the underlying methodology, please refer to the FTSE RAFI Index Series Ground Rules available on https://www.ftserussell.com/

Index Detail

The Preference Share Index consists of non-convertible, non-redeemable, floating rate preference shares.
Name  RAFI All Share
Index Code           J263
Alpha Code RALS
Index Category RAFI
Universe JAll Share Index (J203)
Fixed No. of Companies No
Liquidity Screening             Yes
Free Float Screening Minimum of 5% 
Other Screening N/A
Weighting Methodology Company fundamentals
Capping Methodology N/A
Index Review Annually in March
Buffer Size            N/A
Dissemination 15 seconds
Live Date               2008/05/12
The RAFI All Share Index reflects the All Share Index (J203) constituents, using specific fundamental factors, rather than market capitalisation. All constituents with a weight larger than 10% in the index will be capped at a level of 10% at each quarterly review.
Name  Capped RAFI All Share
Index Code           J263
Alpha Code RALC
Index Category RAFI
Universe All Share Index (J203)
Fixed No. of Companies No
Liquidity Screening             Yes
Free Float Screening Minimum of 5% 
Other Screening N/A
Weighting Methodology Company fundamentals
Ranking Methodology Ranked by Company fundamental values
Capping Methodology 10% quarterly
Index Review Annually in March
Buffer Size            N/A
Dissemination 15 seconds
Live Date               2009/08/13
The RAFI 40 Index is designed to reflect the top 40 companies from the All Share Index (J203), ranked and weighted by fundamentals. All constituents with a weight larger than 10% in the index will be capped at a level of 10% at each quarterly review.
Name  RAFI 40
Index Code           J260
Alpha Code RAFI
Index Category RAFI
Universe All Share Index (J203)
Fixed No. of Companies 40 by company fundamentals
Liquidity Screening             Yes
Free Float Screening Minimum of 5% 
Other Screening N/A
Weighting Methodology Company fundamentals
Ranking Methodology Ranked by Company fundamental values
Capping Methodology 10% quarterly
Index Review Annually in March
Buffer Size            N/A
Dissemination 15 seconds
Live Date               2007/10/01
An alternate valuation for the RAFI Top 40 Index (J260), whereby the Total Return Index (TRI) is calculated using net dividend rates (“net in the hands of the SA investor”). Dividend withholding tax is deducted from the declared dividend with the resulting net dividend used in the XD adjustment.
Name  RAFI 40 Net TRI
Index Code           JNR4
Alpha Code RAFN
Index Category RAFI
Universe RAFI 40 Index (J260)
Fixed No. of Companies 40 at the Quarterly Review
Liquidity Screening             Yes
Free Float Screening Minimum of 5% 
Other Screening N/A
Weighting Methodology Company fundamentals
Ranking Methodology Ranked by Company fundamental values
Capping Methodology 10% quarterly
Index Review Annually in March
Buffer Size            N/A
Dissemination End of Day
Live Date               2012/04/16