Indxx LLC Launches the Indxx Global Natural Resources Income Index, Licensed to First Trust for Exchange Traded Fund
December 21 2015 - 10:54AM
Business Wire
Indxx LLC is pleased to announce the launch of the Indxx Global
Natural Resources Income Index (the “Index”). The Index has been
licensed to noted Wheaton, Illinois-based ETF issuer First Trust
Advisors L.P. for their exclusive use as the underlying benchmark
for the First Trust Indxx Global Natural Resources Income ETF,
which began trading today (NASDAQ: FTRI). The ETF previously traded
under a different symbol (NASDAQ: CU), and tracked a different
underlying benchmark.
Indxx’s research division believes that the growth of the
natural resources sector is being driven by increasing
globalization, urbanization and rising per-capita incomes in
emerging markets, factors which have led to an increase in the
representation of natural resources within the global equity
universe from 13.3% to 24.7% in the last 15 years. Indxx expects
these trends to continue going forward.
“We are excited to have developed this index for First Trust by
using the cutting-edge capabilities of our research and analytics
divisions to identify a unique trend and properly target it via an
index-based approach” said Rahul Sen Sharma, Partner at Indxx. “We
look at it as another example of how we seek to distinguish
ourselves as a custom index provider that adds value throughout the
index development process.”
“We believe this index represents an effective way to track the
growing global demand for natural resources from strong and stable
companies that also potentially provide a relatively high level of
dividends” said Ryan Issakainen, CFA, Senior Vice President and ETF
Strategist at First Trust.
The Index is modified market capitalization-weighted designed to
track the performance of exchange listed dividend-paying companies,
on a global basis, which are involved in five broad industry
categories: energy, materials, agriculture, water and timber, and
has been designed to provide targeted exposure to high-yielding
upstream companies with prime assets and strong balance sheets,
which not only produce stable cash flows, but also maintain
dividend payments even during commodity downturns.
The Index was backtested to June 23, 2006 with an original value
of 1,000, and officially launched on June 9, 2015. There are three
versions of the Index currently available, a price return version
(ticker: IGNRIP), total return version (ticker: IGNRI) and net
total return version (ticker: IGNRINT). As of November 30, 2015,
the Index included 48 securities with a weighted average market
capitalization of $40.63 billion. These amounts are subject to
change.
About Indxx
Founded in 2005, Indxx seeks to redefine the global indexing
space. With offices in New York, London and New Delhi, the firm
focuses on Index Development, Index Calculation, Analytics &
Research and combines these services in a holistic, customized
approach that is unique to the industry.
For more information about Indxx or the Indxx Global Natural
Resources Income Index, visit: http://www.indxx.com/
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version on businesswire.com: http://www.businesswire.com/news/home/20151221005859/en/
Indxx Press & Media RelationsAttention: Anika
Bhardwaj+1-844-55-INDXXinfo@indxx.com
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