NYSE Euronext has launched two equal weight indices based on the European national blue chip indices, the AEX and the Cac 40.
NYSE Euronext has launched two equal weight indices based on the European national blue chip indices, the AEX and the Cac 40.
The AEX Equal Weight and the Cac 40 Equal Weight are designed to be underlying for exchange-traded products by providing investors with an additional strategy of investing in NYSE Euronext blue chip securities.
All constituents of the equal weight indices will have the same weight at the review dates. This means that in the equal weight indices the stock with the smallest market cap in the underlying index will have the same weight as the stock with the largest market cap in this index.
‘The launch of the new indices expands upon our offering of indices based on NYSE Euronext’s blue chip market indices, allowing investors and exchange traded product issuers new ways to invest in the AEX and Cac 40 securities’ says George Patterson, head of global index design, Global Index Group, NYSE Euronext.
The indices will be rebalanced every quarter on the third Friday of the quarter ending month and will be calculated as price indices. They will be calculated and disseminated every 15 seconds, throughout the trading day. The base value of the equal weight indices is set at 1,000 on 31 December 2008.
