The SMI explained: the benchmark index of the Swiss stock market
The SMI (Swiss Market Index) brings together the 20 largest companies listed on the Swiss stock exchange. What it measures, what it contains and why Nestlé, Novartis and Roche carry so much weight.
The SMI, or Swiss Market Index, is Switzerland's main stock-market index. It brings together the 20 largest and most heavily traded companies listed on the Swiss exchange (SIX). When the news mentions “the Swiss stock market”, it almost always means the SMI.
How the index works
Launched in 1988 with a base value of 1,500 points, the SMI rises and falls with the value of its 20 components, weighted by their stock-market size. It is a price index: it does not account for dividends paid out (the version that includes them is called the SMIC).
Three giants dominate
Three stocks — Nestlé, Novartis and Roche — alone account for a major share of the index. This concentration means a move in these three is enough to shift the whole SMI, a point to keep in mind when reading its swings. Other components include names such as UBS, Zurich Insurance, ABB and Richemont.
Frequently asked questions
What does SMI stand for?
Swiss Market Index: the index of the 20 largest companies listed on the Swiss exchange (SIX).
How many companies make up the SMI?
Twenty, selected from the largest and most liquid on the Swiss exchange; Nestlé, Novartis and Roche form its core.
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