Jan 4, 2025 · Indexation is the process of adjusting a price, wage, or other value based on changes in another price or a composite indicator. It can fight the effects of inflation.

Indexation is a technique to adjust income payments by means of a price index, in order to maintain the purchasing power of the public after inflation, while deindexation is the unwinding of indexation.

5 days ago · Indexation in equity markets involves constructing and tracking market indices like the S&P 500 or the MSCI World Index. These indices serve as benchmarks for evaluating portfolio performance. Index funds and exchange-traded funds (ETFs), which replicate these indices, have gained popularity due to their low costs and passive investment strategies.

The meaning of INDEXATION is a system of economic control in which certain variables (such as wages and interest) are tied to a cost-of-living index so that both rise or fall at the same rate and the detrimental effect of inflation is theoretically eliminated.

Starting 23rd July 2024, indexation benefit is not available for any asset. However, in case of transfer of land or building acquired before July 23, 2024, taxpayers have the option to pay tax at either a rate of 12.5% without indexation benefits or 20% with indexation benefits.

Indexation is a fundamental concept in finance and economics, enabling the adjustment of values to reflect changes in indices such as prices, wages, or income over time. By accounting for inflation and other relevant factors, indexation ensures the accuracy and relevance of financial data and calculations, facilitating fair transactions, policy ...

Aug 23, 2024 · Indexation is the reason why debt funds are considered an excellent fixed-income investment option when compared to conventional fixed deposits (FDs). Indexation makes the game of investment a win-win affair.

Indexation means making an expenditure, income or any economic variable keep pace with something else. For example, with wages it refers to making sure employees’ income growth keeps up with rising prices, i.e. inflation or the consumer price index (CPI).

indexation, in fiscal policy, a means of offsetting the effect of inflation or deflation on social security payments and taxes by measuring the “real value” of money from a fixed point of reference, usually a price index.

Jan 28, 2024 · Indexation is a fascinating process that plays a crucial role in various financial aspects. It involves periodically adjusting values based on the changes in a selected index, ensuring that the desired outcome is achieved. Let’s delve deeper into how indexation works and explore its key components.