Solactive and BT Funds Management (BTNZ) have joined forces to introduce a suite of indices derived from Solactive’s flagship Global Benchmark Series (GBS).
Solactive writes that some of them incorporate a customised strategy to align with the investment manager’s sustainability principles, adhering to the exclusion list of companies identified and maintained by BTNZ.
The new indices serve as benchmarks for active funds and mandates managed by five different asset managers acting on behalf of BTNZ and their members. This collaboration represents an additional c. NZD3 billion of assets linked to Solactive’s indices, as of October 2023.
The Solactive GBS Global Markets ex Oceania Large & Mid Cap NZD Index NTR (SOGLMCZN), the Solactive GBS Developed Markets ex Oceania Large & Mid Cap NZD Index NTR (ticker: SODLMCZN), and the Solactive GBS Emerging Markets Large & Mid Cap NZD Index NTR (SEMLMCZN) provide exposure to companies in various segments of global, developed, and emerging markets respectively. The first two exclude Australia and New Zealand from their selection, clearly separating the exposure from other strategies to further strengthen investment diversification.
Solactive writes that these indices also serve as starting universes for custom-screened index versions, which leave out from the selection companies that constitute the BTNZ exclusion list. The custom-screened indices are the Solactive Global Markets ex Oceania Custom Screened NZD Index NTR (SOOGCSNN), the Solactive Developed Markets ex Oceania Custom Screened NZD Index NTR (SOODCSNN), and the Solactive Emerging Markets Custom Screened NZD Index NTR (SOEMCSNN).
Additionally, Solactive and BTNZ also launched the Solactive 85 per cent Developed Markets ex Oceania 15 per cent Emerging Markets Custom Screened NZD Index NTR (SODECSNN) and included two hedged versions of the indices to isolate NZD currency risk.
Timo Pfeiffer, Chief Markets Officer at Solactive, says: “We are very pleased that, together with BTNZ, we are yet again able to expand our comprehensive and cost-efficient benchmark offering to Aotearoa New Zealand, ultimately aiming to provide increased value to BTNZ’s members. In addition, our ability to offer flexible index customization underscores Solactive’s commitment to delivering tailored solutions to better align with our client’s – and their investors’ – objectives. We are grateful to BTNZ for their continued trust and partnership, especially in the sustainability space, sharing our vision and principles in contributing to the advancement of a more sustainable planet for all.”
Philip Houghton-Brown, Head of Investment Solutions at BTNZ, says: “BTNZ are excited to expand our trusted partnership with Solactive in providing further value to our investors, through the delivery of benchmark solutions and data for the management of our investment products.”
