Component Selection

The Index includes companies that are involved with the development, manufacture, operation, and support of U.S. defense, military, homeland security, and space operations that are listed on the New York Stock Exchange or quoted on the NASDAQ National Market.

To be included in the Index, components must meet the following:

  • Maintain a minimum $100 million market valuation during the 25 days preceding the initial inclusion date.
  • Maintain a minimum $5.00 daily share price during the 25 days preceding the initial inclusion date.
  • Have a minimum average daily trading volume over the preceding 25 days prior to the inclusion date of 50,000 shares
  • Have a quarterly sales/revenue/turnover of at least $10 million for the prior two announced quarters preceding its inclusion.

The ISBC may at any time and from time to time change the number of issues comprising the Index by adding or deleting one or more components, or replace one or more issues contained in the Index with one or more substitute stocks of its choice, if in the ISBC’s discretion such addition, deletion or substitution is necessary or appropriate to maintain the quality and/or character of the industry groups to which the Index relates.