Nikkei 225 Total Return Index
Index Guidebook

Nikkei Inc.

・ T h i s d o c u m e n t i s t h e i n d e x g u i d e b o o k o f t h e N i k k e i 2 2 5 To t a l R e t u r nIndex calculated and published by Nikkei Inc. (Nikkei) since
December 3, 2012. The document is drawn up by Nikkei and it would
be changed or modified corresponding to the revision of the i ndex
calculation rule etc.
・ Copyright of this document is owned by Nikkei, and any copies,reprints and reproduction of this document are prohibited without theprior approval of Nikkei. This document is prepared solely for theunderstanding of the index Ni kkei calculates and publishes, and it isn o t t o b e c o n s t r u e d a s a s o l i c i t a t i o n o r a n o ff e r t o b u y o r s e l l a n ysecurities or related financial instruments.
・ This English document is a translation of the original document dated
December 3, 2012 in Japanese an d may not be an entirely accuratetranslation of the original Japanese document. In any case whered i ff e r e n c e s a r i s e b e t w e e n t h e E n g l i s h v e r s i o n a n d t h e o r i g i n a lJapanese version, the original Japanese document will prevail.

(October 1, 20 21 version)
GB-TR0-E-20211001

1 : Concept
The Nikkei 225 Total Return Index measures the performance of the Nikkei 225, including
both movements in the price and reinvestment of dividend incomes from the component
stocks at the closing of ex-dividend dates. It is common for Japanese companies to fix
dividends paying to their shareholders after the ex-date. Therefore estimated dividends areused for the index calculation on the ex-date. The difference between the estimateddividend and the actual dividend reflects the index on the next business day when thedividend is fixed.

2 : Index Calculation(1) Basic points
・ Index value on a day is calculated by multiplying the index value on the previous day
by the change rate on the day based on the return of the Nikkei 225 including dividends.
・ Dividends used for the calculation are estimated dividends published by Nikkei(reflecting the estimated figures published until (or including) the day before theex-dividend dates). If the actual dividends are changed from the estimated dividends,
the index value is adjusted by reflecting the differences on the next business day when
the dividends are fixed. For the retroactive calculation of the index in the past, see
4-(2).
・ The timing to fix the dividends is the same as that for the calculation of the “NikkeiStock Average DP Index” (i.e. on the dates of annual regular shareholder meetings incase of the annual dividends/ on the dates of the publication by the companies in ca se of
the other dividends).
・ Unit of the index value is “points” and the figure is rounded to two decimal places.
・ The index value on December 28, 1979 was 6569.47 (equal to closing price of theNikkei 225 (price index) on the day).
・ The index is calculated and published as the value on the end-of-day basis sinceDecember 3, 2012.
(2) Formula*In the following formula, “Nikkei225” indicates its closing price.

𝐼𝑛𝑑𝑒𝑥 𝑉𝑎𝑙𝑢𝑒𝑡 = 𝐼𝑛𝑑𝑒𝑥 𝑉𝑎𝑙𝑢𝑒𝑡−1
×Nikkei 225t + Estimated Ex-Dividendt + Dividend Adjustmentt
Nikkei 225t-1

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・ t: current day, t-1: previous day.
Estimated Ex-Dividend is calculated as follows:
Estimated Ex-Dividendt= ∑Estimated Ex-Dividend of Constituentt × Price Adjustment Factorex-date
Divisor of Nikkei 225ex-date・ Estimated Ex-Dividend of Constituent indicates dividend per share (gross cash dividend,including special dividend and commemorative dividend). The value is zero on theother days than the ex-dividend date.
・ Price Adjustment Factor and Divisor of Nikkei 225 on the ex-dividend date are used forthe calculation.
・ The figure is rounded to two decimal places.
Dividend Adjustment is calculated as follows:
Dividend Adjustmentt= ∑Dividend Adjustment of Constituentt × Price Adjustment Factorex-date
Divisor of Nikkei 225ex-date

・ Dividend Adjustment of Constituent is equal to the actual (fixed) dividend per shareminus the estimated ex-dividend. The value is zero on the other days than theadjustment date. Price Adjustment Factor and Divisor of Nikkei 225 on ex-dividend date
are used for the calculation.
・ The figure is rounded to two decimal places.

3 : Treatment of the index value(1) Publication of the index value
As a general rule, the indices are published as the value on the end-of-day basis by 4:30pm
on every business date on Nikkei Indexes (https://indexes.nikkei.co.jp/en/).
(2) Retroactive calculation in the past
The Nikkei 225 Total Return Index was calculated retroactively back to December 28,
1979 on the end-of-day basis. However, from 1979 to 1990 dividend used on ex-dividend
date was not the estimated dividend but the actual dividend.

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(3) Modification of the index value
If any event which affects the index value occurs, as a general rule, retroactive calculation
for the modification will not be conducted. However if the Nikkei Stock Average (Nikkei225) used to calculate the Nikkei 225 Total Return Index is modified retroactively, thisindex may also be modified retroactively.

4 : Nikkei 225 Net Total Return Index
In addition to the above index including gross dividends, the Nikkei 225 Net Total ReturnIndex is also calculated on the end-of-day basis as a reference value, using dividends after
the deduction of tax for the calculation. Base date of the index and the value on the date
are the same as the Nikkei 225 Total Return Index (December 28, 1979, 6569.47). The
Nikkei 225 Net Total Return Index was calculated retroactively until its daily calculation
stat of December 3, 2012.
History of changes in tax rates for the index calculation (ex-dividend date basis)
PeriodTax rate
Jan 1980 to Dec 2002
20%
Jan 2003 to Oct 201210%
Nov 2012 to Oct 201310.147%
From Nov 201320.315% **The tax rate was applied from ex-dividend date in December 2013 because of no
ex-dividend constituent stocks in November

5 : Others(1) Licensing
Nikkei 225 Total Return Index is the intellectual properties which belong to Nikkei. All ofthe rights to the index such as right to calculate, publicize, disseminate and use these
indices are reserved by Nikkei. Licensing agreement with Nikkei is necessary if c ompanies
intend to create Index-linked funds and passive funds, etc. It is also required to use thisindex for disseminating, providing and showing, etc. to the third party in the way as Nikkei
decides.
(2) Risk
Nikkei calculates and publishes the Nikkei 225 Total Return Index in accordance with themethods described in this document. In the event of circumstance not described in thisdocument or Nikkei determines it is impossible to use the methods described in thisdocument, Nikkei may use an alternative method of the ind ex calculation as it deems valid.

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In case of a breakdown of computer system, natural disasters or any other unavoidable
situations, Nikkei may postpone or cancel the calculation of the indices. Nikkei, under anycircumstance, does not guarantee the accuracy of these indices. Should any error in thecalculation of the indices take place, Nikkei shall not be liable for any damages sustainedby any person or organization.
This document could be changed corresponding to the revision of the index calculation
rule etc in the future. Information expressed in this document is subject to change without
notice and in those cases Nikkei is under no obligation to update any recipients of thisdocument. Nikkei shall not accept any liability for any loss or damage arisi ng from theusage of all or any part of this document.
In addition, the disclaimers in the above are also applied to Nikkei Stock Average (Nikkei225) which is used to calculate the Nikkei 225 Total Return Index.
(3) Contact
Index Business Office, Nikkei Inc.
Tel: +813-6256-7341, mail: index@nex.nikkei.co.jp

Copyright 2021 © Nikkei Inc. All rights reserved.

5Appendix : Change history of Index Guidebook
November 13, 2012 version
December 26, 2013 version

December 4, 2015 version

October 1, 2021 version

Initial version
In “5 : Nikkei 225 Net Total Return Index”- Added description the history of changes in of tax rates
for the index calculation.
In “5 : Nikkei 225 Net Total Return Index”- Added description of the inception date and the inception
value.
In “2 : Index Calculation”- Changed the formula using Presumed Par Value to theformula using Price Adjustment Factor.
“3 : Calculation example”- Deleted the description.

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