The EMTXi, originally launched in June with two daily fixings, uses transparent, tradable, real-time bond prices from the EuroMTS Linkers Market, which was established in May 2004 to increase the liquidity of the eurozone inflation-linked government bond market. The EMTXi incorporates eurozone issues quoted on MTS - the reference market in Europe for fixed income securities - with more than €2 billion in outstanding size and at least one year to maturity. The index, comprised of the entire range of inflation-linked securities listed on the EuroMTS Linkers Market, currently includes one Greek, two Italian and seven French inflation-linked bonds. The new 30-year inflation linked bond of the Republic of Italy will be included on December 2.
“The real time publication of the EMTXi is a response to requests from market participants for a transparent index which will serve as the basis for new financial instruments, such as ETFs, OTC derivatives or structured products, ” said Scott Stark, CEO of MTSNext.
Three ETFs, based on the EuroMTS Indices, are currently listed on the Euronext and Borsa Italia exchanges with over €350 million in assets under management. In addition to ETFs, the EuroMTS Indices are used as benchmarks by over 200 institutions with an estimated €200 billion in assets referenced to the indices.
Additional information on the EuroMTS Indices, including historical index data, is freely distributed via www.euromtsindex.com and through market data vendors (Bloomberg “EMTS”
