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STOXX Limited, the market-moving provider of innovative, tradable and global index concepts, today announced that the EURO STOXX 50 Index has been licensed to China Universal to serve as the basis for an exchange-traded fund (ETF). The CEOs of STOXX Limited and China Universal gathered at an official signing ceremony in Shanghai today to mark this occasion.
It is the first time that the EURO STOXX 50 Index has been licensed to underlie an ETF in China. There are currently 21 ETFs on the index available, globally.
“The EURO STOXX 50 Index is Europe’s most favored and successful equity index. Its liquidity, transparency and rules based methodology makes the index an ideal tool to participate in the performance of the Euro zone equity markets,” said Hartmut Graf, chief executive officer, STOXX Ltd. “Licensing this index for the first time in China is a big step for STOXX as we enlarge our global footprint, and also highlights the importance we place on the Asian market.”
Shelley Yang, Managing Director of International Business at China Universal, said, “The EURO STOXX 50 Index is the most well-known flagship index for the Euro zone. Its component stocks include BMW, Volkswagen, Total, Siemens, Nokia and other famous companies. By licensing the EURO STOXX 50 Index, China Universal offers Chinese investors exposure to the Euro zone, and also strengthens its overseas business.”
The EURO STOXX 50 Index was launched in February 1998. It represents 50 supersector leaders in the 12 euro zone countries Austria, Belgium, Finland, France, Germany, Greece, Ireland, Italy, Luxemburg, the Netherlands, Portugal and Spain. The index is weighted by float-adjusted market capitalization, and each component's weight is capped at 10% of the index's total free-float market capitalization. Through its outstanding methodology it ensures a well-balanced sector representation and simultaneously represents the overall market development. The index captures approximately 60% of the free-float market capitalization of the EURO STOXX TMI Index. Daily historical data are available back to December 31, 1986.
