FTB-C000157 / Implementation concept

Eligibility Rule

An eligibility rule is a test that determines whether an instrument can enter or remain in a defined universe or index.

Also known asindex eligibility criterioneligibility screen

Intermediate 8 linked topicsPublished

Definitions

In plain terms

Rules can examine listing, size, liquidity, free float, trading history, domicile, security type, or other documented criteria.

Technical

Each rule needs field definitions, point-in-time inputs, thresholds and boundary inclusivity, observation window, missing policy, effective version, and exception governance.

Scope

Eligibility is methodology-specific and does not guarantee inclusion when ranking or capacity constraints also apply.

Examples

  • A governed index record identifies eligibility rule with its applicable methodology version, effective time, source, and units.

Common misconceptions

  • Eligibility Rule does not have one universal implementation without the named index methodology, data cutoff, and governance context.

Concept relationships

Prerequisites

Related

Required by

Where this concept is used

Tutorials planned

These catalogued topics use this concept, but their complete build has not shipped yet.

  • D03-F03-A03 Important
  • D03-F03-A06 Important
  • D03-F06-A01 Primary
  • D03-F06-A02 Prerequisite
  • D03-F06-A03 Important
  • D03-F06-A04 Prerequisite
  • D03-F06-A05 Important
  • D03-F06-A07 Important

Evidence and governance

  1. MSCI Global Investable Market Indexes Methodology Library MSCI · first party methodology

    Supports: preferred label, short definition, technical definition

    Limits: MSCI methodology and production data are provider-specific and branded data or calculated values may require licenses.

  2. Fintech Builder Glossary Definition Contract The Fintech Builder · internal governed contract

    Supports: variant distinction

    Limits: Defines governed platform behavior rather than claiming these policies are universally prescribed by external McClellan methodology.

Reviewed by
Last reviewed
2026-07-27
Next review
2027-07-27
Record status
published
Written by

Fintech engineer building market-data and financial systems, and the author of every article, glossary record, and reference implementation on The Fintech Builder.