EUROPE - EuroMTS and Euronext have teamed up to launch what they claim to be the first independent and transparent pan-European government bond index.
The new EuroMTS Index is based on real time tradable prices of the MTS Group and aims to provide a level of transparency comparable to equity indices.
The index is a successor to the well-established CNO Etrix in France, which is already used by more than 50% of French institutional investors.
Jean-François Théodore, chief executive officer of Euronext, said: “The partnership of EuroMTS and Euronext once again sees the cooperation of our organisations in the European capital markets and will undoubtedly enhance the delivery of the new reference tool in the eurozone.
“These indices will create a new marketplace for exchange traded funds (ETFs), futures & options and other financial products based on bond indices.”
Euronext holds one-third of the shares of the new company, MTSNext, which is responsible for the management of the index, with the remainder held by EuroMTS. Scott Stark assumes the position of chief executive officer and will lead the development of the indices.
Gianluca Garbi, chief executive officer of EuroMTS, said: “Institutional investors, fund managers and producers of financial instruments will recognise the advantages of this index which will offer them a standardised benchmark for structuring their financial products.”
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