Core Insights - Morningstar has launched the Morningstar PitchBook U.S. Modern Market Index (Modern Market 100), which tracks the performance of 100 of the largest U.S. companies across public and private markets [2] - The index includes 90 publicly listed firms and 10 large venture capital-backed firms, reflecting the increasing ownership of major companies by private equity [2][4] - Over the past year, the Modern Market Index achieved returns of 28.2%, significantly outperforming the Morningstar U.S. Market Index's 16% return [3] - The index has a substantial technology sector exposure, nearly 50%, compared to about 30% in the U.S. Market Index [3] Index Structure and Methodology - The Modern Market Index allocates 90% of its weighting to the largest public companies by market capitalization and 10% to private firms, mirroring the size of public and private equity markets [4] - The index will be calculated daily, using verified transactions in the secondary market to estimate valuations of venture-backed firms, with data sourced from CapLight and Zanbato [4] - The index will undergo quarterly rebalancing and semi-annual reconstitution, with specific measures in place to account for mergers and acquisitions [6] Exclusions and Limitations - Some large venture-backed firms, such as Waymo, were excluded from the index due to limited trading activity on the secondary market, affecting their liquidity [5]