Standard & Poor’s, the world’s leading index provider, yesterday announced the launch of the S&P Asia Thematic Index Series, comprised of three new investable indices for Asian equity markets based on specialist investment themes. The S&P Asia Infrastructure Index, S&P Asia Water Index and S&P Asia Alternative Energy Index will provide investors with diversified exposure to leading publicly listed companies operating within these themes across seven developed and emerging Asian markets.
“The S&P Asia Thematic Index Series will satisfy demand from Asian investors for a product developed by an independent provider that enables them to gain local exposure to specific investment themes,” said Tim Eisenhauer, Vice President, Standard & Poor’s Index Services. “Standard & Poor’s is already the premier provider of thematic indices through the S&P Global Thematic Index Series, and these new regional indices reinforce our ability to tap into evolving trends that cut across traditional industries and geographies. The indices have been designed to be highly liquid and investable, and can therefore be more easily developed into structured products and exchange traded funds.”
The S&P Asia Thematic Index Series is comprised of the largest companies that meet specific size and liquidity criteria from seven developed and emerging Asian markets, including China, Hong Kong, Japan, Malaysia, Singapore, South Korea and Taiwan. The S&P Asia Infrastructure Index is comprised of 30 stocks diversified across three infrastructure clusters – energy, transportation and utilities. The S&P Asia Water Index contains 30 stocks that provide a balanced exposure to two water-related industry clusters – Water Utilities & Infrastructure and Water Equipment & Materials. The S&P Asia Alternative Energy Index includes 20 companies involved in the production of energy from alternative, non-fossil-based sources.
Each index relies on a unique selection and modified market capitalization-weighting scheme to provide a balanced representation across the clusters within each index. Companies must have a total market capitalization above US$250 million and a three-month average daily value traded of at least US$3 million. No single stock can account for more than 10% of the index and each stock’s domicile and primary market listing must be an Asian market.
For more information on the S&P Global Thematic Index Series please visit: www.standardandpoors.com/indices