First in a Series of Europe-Focused Indexes, new Indexes Reflect Dow Jones Indexes’ Commitment to Europe …
Sign up for our weekly Newsletter and receive the latest ETF and ETC news.
The Dow Jones Eurozone Titans 80 Index and the Dow Jones Europe Titans 80 Index measure leading companies within each region. Because the new indexes are diversified, easy to replicate and contain well-established, blue-chip names, they are well-suited for licensing as the basis of investment products such as ETFs, structured products and exchange-traded derivatives.
On a related note, the Dow Jones Eurozone Titans 80 Index and the Dow Jones Europe Titans 80 Index both have been recently licensed to UniCredit, the pan-European financial institution, to serve as a basis for structured products to be issued today. UniCredit announced that open end certificates on each new index would be offered in Germany under “HypoVereinsbank onemarkets”, as well as in Austria under “UniCredit onemarkets”.
The Dow Jones Eurozone Titans 80 Index and the Dow Jones Europe Titans 80 Index both measure the performance of leading stocks that trade in Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, the Netherlands, Portugal and Spain. In addition to the aforementioned nations, the Dow Jones Europe Titans 80 Index also represents Denmark, Iceland, Norway, Sweden, Switzerland and the U.K.
“With a wealth of opportunities spread across the continent, Europe represents a critical component of Dow Jones Indexes’ strategic business plan and for our future,” said Michael A. Petronella, President, Dow Jones Indexes. “These new indexes signal an important step for us as we plan to roll-out more Europe-focused indexes that will provide investors with a more complete and diversified offering.”
With 80 components each, the Dow Jones Eurozone Titans 80 Index and the Dow Jones Europe Titans 80 Index are more diversified than competing indexes. In addition, the new indexes follow a more-robust methodology than their competitors, with float-adjusted market capitalization, revenue and net profit used as selection criteria. This approach is consistent in keeping with the long-established methodology Dow Jones Indexes uses to create and maintain its other “Titans”-branded indexes.
The indexes’ compositions are reviewed on an annual basis using data from the last trading day in May, with their component weightings rebalanced in March, June, September and December. The indexes are reviewed on an ongoing basis for corporate events such as delistings, bankruptcies, mergers and takeovers.
Calculation of both indexes began on June 20, 2011. Back-tested historical data have been calculated daily back to December 31, 2002, the date at which the index base value is set at 1000.
Source: ETFWorld – Dow Jones Indexes