Market weighted return return

RoastBeef

Guys,

I got screwed on a simple question in the mock. I calculated the market weighted return as sum of stock returns weighted by market cap. However, that was different from sum of market caps relative difference. If assume no splits/dividends, how can the two be different? Stock issue and repurchase I guess, which it means that the index adjusts for this.

Am I correct?

Thanks

bboo

Market weighted index is self rebalancing.

NO EXCUSES