The Nikkei 225 Double Inverse Index represents the doubled inverse performance of the Nikkei Stock Average on the daily return basis. The index is one of the 5 indices which consists of the “Nikkei Stock Average Strategy Index Series” and is calculated for market participants to realize a stronger short investment strategy than the Nikkei 225 Inverse Index based on their expectation of bear market.
The Nikkei 225 Double Inverse Index is calculated on the Nikkei Stock Average (Nikkei 225). The Nikkei 225 is comprised of 225 stocks selected from domestic common stocks in the 1st section of the Tokyo Stock Exchange, which is used around the globe as the premier index of Japanese stocks.
Index value on a day is calculated by multiplying the index value on the previous day by the doubled inverse (doubled return and reversed sign) daily return based on the change rate of Nikkei 225 on the current day. For instance, if the Nikkei 225 rises by 5% on a day, the Double Inverse Index falls by 10 % on the day.
The index started to be published from June 16, 2014. The index value on December 28, 2001 was 100,000 points, and is currently calculated every 5 seconds while the Tokyo Stock Exchange opens.