Whalen Global Advisors Launches Three New Banking Indexes

Whalen Global Advisors, based in Briarcliff Manor, NY, announced on February 26, 2024 the launch of three bank index products. These indexes are designed to track the performance of the top 10, 25 and 50 publicly traded U.S. banks in the Peer Group 1 category, as defined by the Federal Financial Institutions Examination Council (FFIEC).

Unlike traditional price-weighted indices, which favor large company stocks, Whalen Global Advisors' indices use a pure constituent weighting system. This allows the highest-rated banks to have the greatest impact on the indices, regardless of their size. Christopher Whalen, president of WGA, says this method highlights deserving banks and that index performance speaks for itself.

Banks constituting WGA's indices are chosen based on proprietary measures of financial performance and market returns established by WGA. Whalen emphasizes the importance of combining market returns with financial performance to provide investors with the opportunity to focus on the best performing banks.

WGA will license these indices to institutional investors, in order to use them as a basis for creating tailor-made financial instruments, understanding specific market trends or obtaining a better understanding of trends in the banking sector.