Euronext has launched the Morningstar Eurozone 50 IndexSM and Morningstar Developed Markets Europe 100 IndexSM on Euronext.
The exchange writes that the launch of the new European indices for blue chips follows the signing of a strategic agreement with Morningstar announced in March 2017 to develop a series of derivative products based on Morningstar indices.
The indices developed by Euronext and Morningstar aim to provide different investor profiles (asset managers, brokers, ETF issuers, banks and trading desks) with equity beta indices that can be used as benchmarks and for investable product creation.
The new indices are designed to offer a competitive alternative to Europe’s existing offerings and are part of Morningstar’s Open Indexes Project, which delivers a portion of Morningstar’s global equity indices for no cost to the investment community for benchmarking purposes. The indices offer:
Free daily index performance data and constituent holdings on a monthly basis
A competitive licensing fee for investment product creation
Limited fixed fee levels to license the indices for bank structured product creation
The agreement with Morningstar to deliver new European indices is part of Euronext’s ‘Agility for Growth’ strategy aimed at diversifying and strengthening its index offering in Europe.
The indices launch will be followed by Euronext’s launch of Futures contracts on the two new European indices in Q4 2017.
