Eike dragged the Ibovespa down in 2013.
The São Paulo Stock Exchange index fell 23,1% by Wednesday, the 26th; without the shares of the EBX group, owned by businessman Eike Batista, the drop would be only 18,1%; these figures are from a study by the consulting firm Economatica.
247 – Shares of the EBX Group, owned by businessman Eike Batista, dragged down the São Paulo Stock Exchange Index (Ibovespa) in 2013, according to a study released this Wednesday by the consulting firm Economatica. In 2013, the Ibovespa registered a drop of 23,1%, up to this Wednesday, June 26th. Without EBX shares, the drop would have been 18,1%.
Economatica calculated the Ibovespa index under two different scenarios:
- Ibovespa without EBX group shares: Shares of LLX, OGX, and MMX were removed and their values reallocated to the remaining shares. The Ibovespa portfolios on January 1, 2013, and May 1, 2013, were considered for the calculation.
- Ibovespa without shares of the EBX group, Petrobras and Vale do Rio Doce. Shares of the EBX group were removed, as well as the ordinary and preferred shares of Petrobras and Vale do Rio Doce.
Conclusion
The Ibovespa index, excluding EBX group shares, would have fallen by -18,1%, compared to a 23,1% drop for the Ibovespa index including all assets.
Without the shares of Grupo EBX, Petrobras, and Vale do Rio Doce, the Ibovespa would have fallen by only 16,3%, and the volatility index in 2013 would have been 17,5 compared to 19,7 for the Ibovespa's theoretical portfolio.