The T. Rowe Price fund marks FTSE’s initial foray in the US mutual fund market with the FTSE All-World Index. Will Oulton, President FTSE Americas, stated: ”We’re very pleased that T. Rowe Price has chosen the FTSE Developed ex North America Index as the basis for its new international index fund. We are seeing increasing interest in the FTSE All-World index from sections of the US investment community who want a float weighted, investible and publicly available index that will not be subject to future high turnover costs.”
The T. Rowe Price International Equity Index Fund opened to investors in November. Ray Mills, Vice President at T. Rowe Price and manager of the fund, noted that: “We believe the FTSE Developed ex North America Index is the best benchmark for US investors who desire exposure to a core international index. It accurately represents the international developed market investment set, while providing an important combination of broad diversification and low turnover.”
The FTSE All-World Index is the leading competitor to MSCI worldwide providing a global benchmark for international funds. It is a liquid, float weighted benchmark index capturing an average 90% of the investible market capitalization available in any one country.
