FTSE Group (“FTSE”), the award winning global index provider, announces that MCX Stock Exchange Limited (MCX-SX), is adopting the Industry Classification Benchmark (ICB), the global company classification standard, across its listing and index offerings.
MCX-SX, India’s new stock exchange, manages the Stock Market Index (SX40), which aims to measure the relative performance of a portfolio of selective stocks. The adoption of ICB will further reinforce the depth of information available in the market by providing a standardized basis for analysis, stock selection and performance measurement.
ICB is a definitive global classification system adopted by the worldwide investment community, from leading stock exchanges representing over 65% of the world’s market capitalisation, to investment managers, global index providers, and financial media. The ICB database comprehensively covers 70,000 companies and 75,000 securities worldwide, enabling the comparison of companies across four levels of classification and national boundaries.
Rohtas Handa, Managing Director, India & Global Relationship Management, FTSE Group said: “We are pleased that MCX-SX has integrated ICB into its index offering and listings as their chosen classification system, which we believe will serve as an effective tool for the exchange by strengthening its transparency. The globally recognised ICB standard offers increased clarity, better structure and universality to meet the investors’ needs and enables accurate and relevant sector classification and monitoring of the market.”
Joseph Massey, MD & CEO, MCX-SX said: “MCX-SX’s adoption of International Classification Benchmark (ICB) in its product and data dissemination efforts would help take Indian markets closer to global investors and introduce global best practices in the domestic market. We are the first exchange in India to use the ICB classification in index development efforts. We believe our index would represent growth in various sectors better and this information would be easily understood by the domestic and global community of investors.”
