FTSE Group, a global index provider and Borsa Italiana, part of the London Stock Exchange Group, have launched two new indices for use in the Italian domestic market, following the successful introduction of the FTSE Italia Index Series introduced last year.
The indices, the FTSE MIB Dividend Index and the FTSE Italia All-Share Capped Index, form part of the growing range of index solutions available to institutional and retail investors in Italy and worldwide.
The launch of the FTSE MIB Dividend Index comes closely after the transition of Borsa Italiana’s blue chip index to FTSE. The new index represents the cumulative value of ordinary dividends paid by constituents of the underlying FTSE MIB Index. The index is primarily designed to be used as the basis for derivatives, tracker funds, ETFs and other structured products.
The FTSE Italia All-Share Capped Index represents the performance of Italian companies listed on Borsa Italiana’s MTA (electronic shares) market, providing investors with a measure of the performance of the major industry segments of the market. Investors can now benefit from an index where constituents are capped at the time of the quarterly reviews to reduce concentration of over-weighted constituents.
Mark Makepeace, CEO of FTSE Group, said: “FTSE’s aim is to widen the range of indices available to both Italian and international investors. These two new indices are designed to underpin domestic financial products such as derivatives contracts, ETFs, tracker funds and structured products. ”
Raffaele Jerusalmi, director of capital markets at London Stock Exchange Group, said: “The FTSE MIB Dividend index gives greater transparency of the dividend component of the FTSE MIB index, supporting risk management activity. It also represents a benchmark for the development of new products available on IDEM.”