11. Money managers use indices, such as those compiled by J.P. Morgan, to judge their performance. 12. Some analysts say one reason is that those indexes are often used in sophisticated trading strategies known as arbitrage. 13. Some Wall Street firms that use indexes to track performance of different kinds of bonds added capital notes to these measures. 14. That matters because many strategists, money managers and individual investors use these indexes as benchmarks when deciding where to invest. 15. The composition of stock indexes is important to many investors because fund managers use the indexes to guide them in building their portfolios. 16. The EU-adjusted inflation index is used to measure price stability according to country inflation requirements for membership in the European monetary union. 17. The Federal Reserve, which conducts the market share analysis, uses an index that banks argue is archaic. 18. The indexes are used as benchmarks by international fund manager. 19. The index is also used to adjust income tax brackets so that taxpayers are not forced to pay higher rates merely because their income kept pace with prices. 20. The index is used by the government to calculate cost-of-living increases for federal benefits. |