The UK Employee Ownership Index is an index of UK public companies quoted on the London Stock Exchange and AIM which have 3% or more of their issued share capital held by or for the benefit of employees other than main board directors. There is a separate version of the index for companies that are 10% or more employee-owned.
The index was started in 1995 by corporate finance firm Capital Strategies, back-dated to 1992 and has been calculated quarterly since.
The index was created to test a hypothesis that businesses with substantial employee ownership perform well over the long term, due to their highly engaged staff, high governance standards and long term outlook. The hypothesis has been positively affirmed in the academic literature, so the index was created as a practical step to explore whether this theory translated into superior long term shareholder returns.
From June 2013, the index is calculated by FTSE International according to FTSE methodologies. Capital Strategies researches and selects the companies for inclusion in the index. The index has been calculated by FTSE back to January 2003.
You need a licence from FTSE International if you would like to cite the index on a regular basis. Occasional or one-off references do not require a licence. Please contact us if you would like more information about licensing.
Capital Strategies Limited ("CS") created the UK Employee Ownership Index (the “Index”) in 1995. The UK Employee Ownership Index is a trademark of CS. All rights in the Index vest in CS. FTSE International Limited ("FTSE") is the third-party calculation agent of the Index. FTSE does not sponsor, endorse, sell, or promote any investment vehicle that is offered by any third party and that seeks to provide an investment return based on the performance of any index. It is not possible to invest directly in an index. The Index is calculated to illustrate the performance of companies that have significant employee share holdings. The Index has not been designed as the basis for index tracking mandates. Neither FTSE nor its licensors or partners is responsible for any information contained herein and neither FTSE nor its licensors or partners accepts any liability (including in negligence or otherwise) to any person arising as a result of any loss or damage (including direct, indirect or consequential loss or damage) arising directly or indirectly from the use of any such information. FTSE makes no warranty to the effect that the calculation of the UK Employee Ownership Index is fit for any particular purpose or is accurate, timely or complete. No information relating to FTSE, its data or its indices may be reproduced, stored in a retrieval system or transmitted in any form or by any means without prior written permission of FTSE. This website is compiled and maintained by CS.