S&P launches currency indices

The index provider said the two indices – which give access to currencies that currently lack a liquid currency futures market – will be the first in a series of real-time currency indices to be launched this year.

The S&P Chinese renminbi index and the S&P Indian rupee index are designed to replicate the performance of the two currencies against the US dollar – and represent the performance of a rolling investment in three-month, non-deliverable, forward currency contracts.

S&P managing director and index committee chairman David Blitzer said: “China and India are both important markets in global trade, but currently lack a liquid and accessible currency futures market.

“The launch of these two new indices will provide investors with access to the currencies of two emerging economic superpowers, China and India, while also serving as a reliable and relative benchmark for currency performance.”