STOXX Unveils EURO STOXX 50 Multi-Asset Indices Blending Equities and Bonds
- The methodology used to construct the indices is straightforward and transparent making it fully accessible for investors.
STOXX, the operator of Deutsche Borse Group’s index business and a provider of tradable index concepts, has launched the EURO STOXX 50 Multi-Asset Multi-Asset Composed of varying asset classes, multi-asset is a blanket designation combining different classes such bonds, equities, cash equivalents, fixed income, and alternative investments.When compared to traditional balanced funds, multi-asset solutions differ because they target specific investment outcomes. This includes outcomes such as return above inflation as opposed to gauging performance against standardized benchmarks.Given the composition of multi-asset classes, they need to be dynamically Composed of varying asset classes, multi-asset is a blanket designation combining different classes such bonds, equities, cash equivalents, fixed income, and alternative investments.When compared to traditional balanced funds, multi-asset solutions differ because they target specific investment outcomes. This includes outcomes such as return above inflation as opposed to gauging performance against standardized benchmarks.Given the composition of multi-asset classes, they need to be dynamically Read this Term Indices, combining the core asset classes, equity and fixed income.
The indices replicate a hypothetical portfolio which tracks the performance of the EURO STOXX 50 Index and the EURO STOXX 50 Corporate Bond Index, thus creating multi-asset index concepts with pre-defined equity and bond exposure levels.
Built-In Exposure Levels
These are the first STOXX indices which provide a highly liquid solution for diversification over two complementary asset classes.
By offering built-in exposure levels to equity and fixed income, the indices offer the opportunity to construct portfolios according to individual risk preferences, as well as various macroeconomic factors.
Commenting on the launch, Matteo Andreetto, CEO of STOXX, said: “The launch of the EURO STOXX 50 Multi-Asset Indices marks an important milestone for STOXX, as these are the first indices in the STOXX offering which provide market participants with a highly liquid solution for diversification over two complementary asset classes: core Equities Equities Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling pa Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling pa Read this Term and fixed income within the EURO STOXX 50 universe.“
The EURO STOXX 50 Multi-Asset Indices combine the performance of two indices, EURO STOXX 50 and EURO STOXX 50 Corporate Bond Indices, following a model with pre-defined exposure levels to the parent benchmarks.
The indices are re-balanced on a quarterly basis on the last trading day of March, June, September and December.
In addition to the EURO STOXX 50 Multi-Asset Indices, STOXX has introduced currency hedged and unhedged index versions for the EURO STOXX 50 Corporate Bond Index which are available in USD, JPY, GBP and CHF.
STOXX, the operator of Deutsche Borse Group’s index business and a provider of tradable index concepts, has launched the EURO STOXX 50 Multi-Asset Multi-Asset Composed of varying asset classes, multi-asset is a blanket designation combining different classes such bonds, equities, cash equivalents, fixed income, and alternative investments.When compared to traditional balanced funds, multi-asset solutions differ because they target specific investment outcomes. This includes outcomes such as return above inflation as opposed to gauging performance against standardized benchmarks.Given the composition of multi-asset classes, they need to be dynamically Composed of varying asset classes, multi-asset is a blanket designation combining different classes such bonds, equities, cash equivalents, fixed income, and alternative investments.When compared to traditional balanced funds, multi-asset solutions differ because they target specific investment outcomes. This includes outcomes such as return above inflation as opposed to gauging performance against standardized benchmarks.Given the composition of multi-asset classes, they need to be dynamically Read this Term Indices, combining the core asset classes, equity and fixed income.
The indices replicate a hypothetical portfolio which tracks the performance of the EURO STOXX 50 Index and the EURO STOXX 50 Corporate Bond Index, thus creating multi-asset index concepts with pre-defined equity and bond exposure levels.
Built-In Exposure Levels
These are the first STOXX indices which provide a highly liquid solution for diversification over two complementary asset classes.
By offering built-in exposure levels to equity and fixed income, the indices offer the opportunity to construct portfolios according to individual risk preferences, as well as various macroeconomic factors.
Commenting on the launch, Matteo Andreetto, CEO of STOXX, said: “The launch of the EURO STOXX 50 Multi-Asset Indices marks an important milestone for STOXX, as these are the first indices in the STOXX offering which provide market participants with a highly liquid solution for diversification over two complementary asset classes: core Equities Equities Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling pa Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling pa Read this Term and fixed income within the EURO STOXX 50 universe.“
The EURO STOXX 50 Multi-Asset Indices combine the performance of two indices, EURO STOXX 50 and EURO STOXX 50 Corporate Bond Indices, following a model with pre-defined exposure levels to the parent benchmarks.
The indices are re-balanced on a quarterly basis on the last trading day of March, June, September and December.
In addition to the EURO STOXX 50 Multi-Asset Indices, STOXX has introduced currency hedged and unhedged index versions for the EURO STOXX 50 Corporate Bond Index which are available in USD, JPY, GBP and CHF.