From 19 September 2011, investors will have a window into the New Zealand infrastructure sector through the launch of the Morrison Index, named for sector leader Lloyd
Morrison.
NZX commenced a consultation process in February 2011 after identifying a gap in the current New Zealand suite of investment indices for the infrastructure sector that would allow investors to track the sector's performance.
"Feedback during the consultation process has been positive and constructive. The investment community is ready for the Morrison, which looks set to become an even more significant measure of performance as the sector itself grows," said NZX Head of Direct Products Rachael Newsome.
The Morrison Index will be an equal weight index, with 10 constituents. The 10 constituents will be rebalanced to 10% of the index at quarterly reviews, with weights free to fluctuate with stock performance between rebalancing. The initial 10 constituents that will make up the Morrison Index
are:
- Auckland International Airport (AIA)
- Contact Energy (CEN)
- Freightways (FRE)
- Infratil (IFT)
- Mainfreight (MFT)
- Port of Tauranga (POT)
- Ryman Healthcare (RYM)
- Telecom (TEL)
- TrustPower (TPW)
- Vector (VCT)
The Morrison Index will have an initial value of 1,000 and initial market capitalisation value of $100 million. Details of eligible securities and the methodology can be found in the Morrison Index Methodology, which is attached to this announcement.