What is the ABA Bank Index?

The ABA Bank Index is a composite market index comprised of small retail and community banks.

How Does the ABA Bank Index Work?

Traded on the Nasdaq, the ABA Bank Index is made up of 440 small banking institutions nationwide. These banks include small-cap retail community banks registered and actively traded on the Nasdaq. The ABA Bank Index has existed since 2003 and has a market capitalization of roughly $150 billion.

Why Does the ABA Bank Index Matter?

The ABA Banking Index tracks the performance of small bank stocks. It functions primarily as an indicator of the strength of the U.S. economy and banking sectors.

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Paul Tracy
Paul Tracy

Paul has been a respected figure in the financial markets for more than two decades. Prior to starting InvestingAnswers, Paul founded and managed one of the most influential investment research firms in America, with more than 3 million monthly readers.

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