Global index provider STOXX has launched a new range of multi-asset indices combining equities and fixed income. These indices can be used as an underlying for exchange-traded funds and should mean investors can construct portfolios according to individual risk preferences and various macroeconomic factors.
Matteo Andreetto, chief executive officer, STOXX
The EURO STOXX 50 Multi-Asset Indices replicate a hypothetical portfolio which tracks the performance of the EURO STOXX 50 Index and the EURO STOXX 50 Corporate Bond Index in a bid to create a multi-asset index offering with pre-defined equity and bond exposure levels.
According to a note from the provider, the rules-based index makes the concept fully accessible and coherent for investors, while allowing the indices to serve as an underlying for exchange-traded funds and derivatives.
Matteo Andreetto, chief executive officer, STOXX Limited, said in a statement: “These are the first indices in the STOXX offering which provide market participants with a highly liquid solution for diversification over two complementary asset classes: core equities and fixed income within the EURO STOXX 50 universe.
“By offering indices with built-in exposure levels to equity and fixed income, these indices offer the possibility to construct portfolios according to individual risk preferences, as well as various macroeconomic factors.”
The indices available are:
The EURO STOXX 50 Multi-Asset High Growth – will be weighted 20% in EURO STOXX Corporate Bond Index and 80% in EURO STOXX 50 Equity index.
The EURO STOXX 50 Multi-Asset Growth – weighted 40% in EURO STOXX Corporate Bond Index and 60% in EURO STOXX 50 Equity index.
The EURO STOXX 50 Multi-Asset Balanced – weighted 50% in EURO STOXX Corporate Bond Index and 50% in EURO STOXX 50 Equity index.
The EURO STOXX 50 Multi-Asset Stability – weighted 60% in EURO STOXX Corporate Bond Index and 40% in EURO STOXX 50 Equity index.
The EURO STOXX 50 Multi-Asset High Stability – weighted 80% in EURO STOXX Corporate Bond Index and 20% in EURO STOXX 50 Equity index.
The indices are rebalanced on a quarterly basis at the last trading day of March, June, September and December. All indices are available in price and total return version and are calculated in euro.
In addition to the EURO STOXX 50 Multi-Asset Indices, STOXX has also introduced currency hedged and unhedged index versions of its EURO STOXX 50 Corporate Bond Index. They are available in USD, JPY, GBP and CHF.