Bringing you live news and features since 2006 


STOXX updates rules on country classification


STOXX Limited has updated its country classification rules, following a meeting of the firm’s advisory board.

The STOXX country classification model relies on a rules-based methodology, and is the first such concept to exclude any subjective decisions from the process.
The five criteria for the classification of a country as a developed or emerging marked include macroeconomic data, market capitalisation, market liquidity, free currency convertibility on onshore and offshore markets, and restrictions on capital flows.
Today’s update to the country classification rules introduces a buffer to the market capitalisation screening. Under the new rule, countries’ total value of traded shares must be higher than USD15bn to be considered as a developed or emerging market; and all countries that are currently classified as such need to have at least USD10bn traded shares to continue to do so. Under the old rule, the threshold for both the initial classification as well as the continuation was USD15bn.
For the above-mentioned criteria, the average data, according to World Bank data, of the last three consecutive years are used in order to avoid short-term fluctuations.

Latest News

Amundi’s ETF Market Flows Analysis for May finds that global ETF inflows were EUR105.1 billion with US-domiciled equity funds accounting..
MerQube has announced the appointment of Dave Mueller as Chief Financial Officer. Mueller brings 17 years experience operating in corporate..
Northern Trust Asset Management (NTAM), has announced that David Abner is joining as Head of Global ETFs and Funds...
Nvidia’s market cap surge to more than USD3 trillion making it the second most valuable company in the world almost..

Related Articles

Darren Johnson, Komainu
Custody specialist, Komainu, was launched in 2018 as a joint venture between Nomura, digital-asset investment manager, CoinShares and blockchain business,...
Stuart Chaussee
In January this year, global data and business intelligence platform, Statista reported that there are now more than 8000 ETFs...
Ethereum coin
Last week saw Australia launch spot bitcoin ETFs, with Matteo Greco, Research Analyst at Fineqia International, writing that Monochrome Asset...
Timothy Rotolo, Range Funds
In 2023, Timothy Rotolo launched his business, Range Fund Holdings, the parent company for Range Indices and Range ETFs, followed...
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