Bringing you live news and features since 2006 

S&P SMIT 40 Index launched by S&P Dow Jones Indices

RELATED TOPICS​

S&P Dow Jones Indices has launched the S&P SMIT 40 Index, designed to measure the performance of 40 leading companies from four emerging markets: South Korea, Mexico, Indonesia and Turkey (SMITs).

The index has been licensed by UniCredit to serve as the basis for structured products, to be issued in Germany and Austria.

Marketed under the brand names “HypoVereinsbank onemarkets” in Germany and “UniCredit onemarkets” in Austria, the structured products will be listed on the Frankfurt and Stuttgart Stock Exchanges.
 
The S&P SMIT 40 Index represents the four largest markets of the Next Eleven (N-11).  The N-11, a concept developed by Goldman Sachs Asset Management (GSAM), are the 11 countries (Bangladesh, Egypt, Indonesia, Iran, Mexico, Nigeria, Pakistan, Philippines, Turkey, South Korea, and Vietnam) recognised by GSAM as having the potential for strong long-term growth (in addition to the BRIC countries). The index is designed to be representative of these four equity markets yet be efficient to replicate in order to support financial products.
 
Michael Orzano (pictured), associate director of global equity indices at S&P Dow Jones Indices, says: “Investors’ interest in emerging market investments is beginning to mature, and they are looking for new ways to tap into this asset class. Interest in the BRICs has, to a certain extent, tapered off recently as their economic growth has cooled and stock markets have underperformed. In the meantime, interest in the SMIT countries appears to be continuing to grow across Europe and in the States.”
 
The S&P SMIT 40 Index employs a transparent, rules-based methodology.  To be eligible for inclusion, stocks must have a float-adjusted market capitalization above USD1bn and three-month average daily value traded above USD5m. The largest ten eligible stocks in each country based on float-adjusted market capitalisation are included in the index, and the four countries are equally-weighted to enhance geographic diversification.   
 

Latest News

As the ETF industry reaches a milestone of USD12.71 trillion in global assets, Brown Brothers Harriman writes that its 2024..
Matteo Greco, Research Analyst at Fineqia International writes that bitcoin closed last week at approximately USD66,300, marking a 7.8 per..
HSBC Asset Management’s (HSBC AM) ETF and Indexing business has passed USD100 billion in assets under management (AUM), reflecting its..
Amundi’s ETF Market Flows Analysis for April reveals that investors added EUR54.1 billion to global ETFs in April with equities..

Related Articles

Dan Miller, IQ-EQ
With just over a week to go till T+1 settlement begins in North America, Canada and Mexico, time is of...
Emily Spurling, Nasdaq
Last October’s ETF Express US Awards 2023 found Nasdaq winning Best Index Provider – ESG ETFs and Best Index Provider...
Vinit Srivistava, MerQube
Index provider, MerQube, launched in 2019, with the aim of providing a “technology-driven answer to the most complex, rules-based investment...
Sean O' Hara
Pacer ETFs has announced the launch of three Cash Cows UCITS ETFs. The firm writes that this will give European...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by