What Is the DAX Index? An Investor’s Guide to Germany’s DAX 40

The DAX index is Germany’s leading stock market benchmark, measuring the performance of the 40 largest German companies listed on the Frankfurt Stock Exchange. Quoted in points and updated every second during trading hours, it is one of Europe’s most-watched gauges of the German economy.

A note on the supplied headlines: the current market stories provided with this topic concern individual companies — a refinery earnings record, a bank and a drugmaker that ran higher, a data-services stock that crashed, and a hotel-search firm scheduling results — not the DAX itself. None of the named companies is a DAX constituent.

What is the DAX index?

The DAX — short for Deutscher Aktienindex, or German Stock Index — is maintained by Deutsche Börse AG and calculated on the Frankfurt Stock Exchange. Its market reference date is December 30, 1987, with a base value of 1,000 points. The index originally tracked 30 companies and was widened to 40 in September 2021, so it is now commonly styled the “DAX 40”.

The cash DAX is calculated between 09:00 and 17:30 Central European Time. Values are published in real time — once per second — allowing investors to follow intra-day moves rather than waiting for a closing print.

How is the DAX index calculated?

Does the DAX index include dividends?

Yes. The headline DAX figure is a performance (total-return) index: member-company dividends are treated as if they had been reinvested, after withholding tax. A separate price-return variant, DAX PR, excludes dividends and tracks pure price movement.

How are companies selected?

Constituents are ranked by order-book volume — traded shares and free float — on the Xetra trading platform. Deutsche Börse reviews membership regularly, with a major annual review each September. Additions typically come from the Prime Standard segment, and from large German companies that re-list on the Frankfurt market.

Which companies are in the DAX 40 today?

Current well-known members span Germany’s largest industries:

• Software and industrials: SAP, Siemens, Siemens Energy, Covestro
• Automobiles: Volkswagen and Porsche Automobil Holding
• Chemicals and pharmaceuticals: Bayer, BASF, Merck
• Financials: Allianz, Munich Re, Deutsche Bank
• Energy, logistics, telecom and consumer: E.ON, RWE, Deutsche Post, Deutsche Telekom, Henkel, Lufthansa, Adidas

The firms named in the supplied headlines are not members: Bharat Petroleum Corp Ltd (BOM:500547), South Indian Bank and Divi’s Laboratories are listed in India, while trivago N.V. and Innodata trade on U.S. exchanges. Their results therefore have no direct, mechanical impact on the DAX.

What do the current headlines actually say?

• Bharat Petroleum Corp Ltd (BOM:500547) — the Q2 2027 earnings call highlights referenced record refinery results, though the precise metric is truncated in the supplied headline.
• South Indian Bank — shares mounted a notable run-up, according to a retrospective written for holders.
• Divi’s Laboratories — the stock posted a rally, likewise covered for holders.
• Innodata — the stock crashed on the day of the headline; the headline poses why as its question but does not state a cause.
• trivago N.V. — third-quarter 2026 results are scheduled for release on November 3, 2026, with the investor webcast on November 4, 2026.

These are single-name earnings stories. Because none of these companies is a DAX constituent, the headlines provide no direct reading on current DAX direction; they simply reflect the wider earnings-season churn across global markets.

How does the DAX compare with other major indices?

How can investors gain exposure to the DAX index?

You cannot buy an index directly. Exposure usually comes through exchange-traded funds (ETFs) that physically hold the 40 DAX shares, offered in distributing or accumulating share classes. International investors can buy these through most brokerages without a German account.

Is the DAX index suitable for a diversified portfolio?

The DAX instantly diversifies across Germany’s 40 largest firms — software, autos, chemicals, insurance and utilities — and ETF versions are highly liquid. The offsetting risks are single-country concentration, heavy weightings in trade-sensitive sectors such as autos and chemicals, and sensitivity to German economic conditions.

Where should investors check the DAX during the trading day?

The cash index runs 09:00–17:30 CET, and official daily closing values feed performance statistics. Value levels are widely republished free by Deutsche Börse’s website and financial portals. Active traders may also use DAX futures (F DAX) and options, which trade outside the cash session on derivatives exchanges — though those prices do not define the index itself.

Frequently asked questions

Is the DAX still called the DAX 30?

No. Since September 2021 it tracks 40 stocks and is widely labelled the DAX 40, although DAX remains the official name.

When was the DAX index created?

The DAX uses December 30, 1987 as its market reference date and started from a base of 1,000 points. It is operated by Deutsche Börse AG.

Which company is the largest DAX constituent?

SAP has frequently been the biggest by market capitalization, but rankings shift every second as share prices move.

Can foreigners invest in the DAX?

Yes. International investors typically use DAX-tracking ETFs through a standard brokerage account; no German residency or local bank account is required.

Frequently Asked Questions

How many companies are in the DAX index right now?

The DAX contains 40 companies. It originally tracked 30 and was enlarged to 40 in September 2021, after which it became widely known as the DAX 40. Deutsche Börse selects and reviews constituents by order-book volume on the Xetra platform.

When was the DAX index created?

The DAX uses December 30, 1987 as its market reference date, with a base value of 1,000 points. It is operated by Deutsche Börse AG and calculated on the Frankfurt Stock Exchange, publishing values every second during the trading day.

What time does the DAX trade each day?

The cash DAX index is calculated from 09:00 to 17:30 Central European Time, Monday through Friday, on the Xetra trading platform. Official closing values feed performance statistics, while DAX futures and options trade beyond those hours on derivatives exchanges.

Does the DAX index include dividends?

Yes. The headline DAX is a performance (total-return) index: dividends are included as if reinvested into each stock, net of withholding tax. Investors wanting pure price movement should use the separate DAX PR price-return index instead.

How can a foreign investor buy the DAX index?

You cannot buy the index itself. The practical route is an exchange-traded fund that tracks and physically holds the 40 DAX constituents; these ETFs trade on exchanges and are available to international investors through most brokerages, in distributing or accumulating versions.

About The Author

Rohan Menon

Rohan Menon covers business, personal finance, markets, startups and economic developments. He breaks down complex financial and business topics into clear, easy-to-understand stories for a general audience.

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