Paris France

History

Euronext Paris, formerly the Paris Bourse, is France’s securities market. It merged with the Amsterdam, Lisbon, and Brussels exchanges in September 2000 to create Euronext NV. As of 2023, the 795 listed companies collectively hold a market capitalization exceeding US$7.33 trillion.

The CAC 40 derives its name from the early automation system of the Paris Bourse, Cotation Assistée en Continu (Continuous Assisted Quotation). Established on December 31, 1987, with a base value of 1,000, equivalent to a market capitalization of 370,437,433,957.70 French francs. Similar to major global stock markets, its peak, reaching 6922.33 points, occurred during the dot-com bubble in September 2000. On December 1, 2003, the index’s weighting system transitioned from total market capitalization to free float market cap, aligning with other prominent indices.

The CAC 40, short for Cotation Assistée en Continu, is a key French stock market index. This benchmark represents a capitalization-weighted measure of the 40 most significant values among the top 100 market caps on Euronext Paris, formerly known as the Paris Bourse. As one of the primary national indices within the Euronext group, alongside BEL20 in Brussels, PSI-20 in Lisbon, and AEX in Amsterdam, the CAC 40 is pivotal in the pan-European stock exchange. While predominantly consisting of French-domiciled companies, approximately 45% of its listed shares are owned by foreign investors, surpassing other major European indices. Notably, German, Japanese, American, and British investors are among the most substantial holders of CAC 40 shares.

While the CAC 40 primarily consists of French-domiciled companies, a notable feature is that approximately 45% of its listed shares are held by foreign investors. This percentage is higher than in any other major European index. Among the most substantial holders of CAC 40 shares are investors from Germany, Japan, the United States, and the United Kingdom.