STOXX Launches Leveraged And Short Indexes On The Dow Jones Euro STOXX 50

STOXX Ltd., the leading European index provider, today launched two new strategy indexes based on the Dow Jones EURO STOXX 50 Index, the leading blue-chip index measuring the performance of the Euro zone.

The Dow Jones EURO STOXX 50 Leveraged and the Dow Jones EURO STOXX 50 Short indexes replicate a leveraged and a short investment strategy, respectively, that are linked to the performance of the Dow Jones EURO STOXX 50 Index. The new indexes are designed to underlie financial products and have been licensed to serve as underlyings for two exchange-traded funds (ETFs).

"The Dow Jones EURO STOXX 50 Leveraged Index is an ideal tool to boost returns in bullish markets whereas the Dow Jones EURO STOXX 50 Short Index is a sophisticated way of achieving positive returns in downward markets," said Lars Hamich, managing director of STOXX Ltd. “These two indexes further complement our strategy index series and give investors easy access to more complex alternatives of investing.”

The Dow Jones EURO STOXX 50 Leveraged Index replicates twice the daily performance of the Dow Jones EURO STOXX 50 Index, i.e. a leverage factor of 2 is applied. The cost of borrowing is also taken into account in the index calculation.

The Dow Jones EURO STOXX 50 Short Index replicates the inverse of the daily performance of the Dow Jones EURO STOXX 50 Index – a negative performance of the blue-chip index results in a positive performance of the Dow Jones EURO STOXX 50 Short Index, and vice versa. The cost of dividends and the benefit of earning interest are also taken into account in the index calculation.

Historical data for both indexes is available back to December 31, 1991.

The Dow Jones STOXX strategy index series includes the Dow Jones EURO STOXX 50 Leveraged Index, Dow Jones EURO STOXX 50 Short Index, Dow Jones EURO STOXX 50 BuyWrite Index and the VSTOXX and is designed to track enhanced investment strategies.

Further information on the Dow Jones EURO STOXX 50 Leveraged and Dow Jones EURO STOXX 50 Short indexes is available at www.stoxx.com.