S&P Dow Jones Indices Expands Factor-Based Index Strategy with S&P GCC Indices

New Single and Multi-Factor Index Series Designed to Measure Equity Performance in Gulf Cooperation Council (GCC) Markets

LONDON, FEB 19, 2019: S&P Dow Jones Indices (“S&P DJI”), the world’s leading index provider, today announced the launch of a suite of factor-based indices for the Gulf Cooperation Council (GCC) markets. This new factor-based index family is designed to track the performance of securities domiciled in the Gulf region including Saudi Arabia. The series is the latest addition to S&P DJI’s worldclass suite of factor-based index strategies that have been introduced in international markets. 

The S&P GCC factor index family is based on the constituents of the S&P GCC Index, S&P Saudi Arabia Index, and the S&P Saudi Arabia Shariah Index. These indices measure the performance of the top quintile of stocks in their respective markets and utilize single factors such as volatility, value, quality and momentum, taking into account the local market structure. In addition, the series also include indices that are characterized as having the top combination of quality, value and momentum as determined by a multi-factor score.

“We are pleased to add the S&P GCC factor indices into our already established factor-based index offering. S&P DJI has been operating in the Middle East and North African (MENA) market for 10 years. Since then, we have continued to expand our offering in line with market demand with the introduction of multi-asset class, dividend and factor indices” said Vinit Srivastava, Managing Director, Strategy and Volatility Indices at S&P Dow Jones Indices

 The S&P GCC Factor Index family currently consists of 15 indices as follows:

  1. S&P GCC Composite Low Volatility Index
  2. S&P Enhanced Value GCC Composite Index
  3. S&P Momentum GCC Composite Index
  4. S&P Quality GCC Composite Index
  5. S&P GCC Composite Quality, Value & Momentum Multi-factor Index
  6. S&P Saudi Arabia Low Volatility Index
  7. S&P Enhanced Value Saudi Arabia Index
  8. S&P Momentum Saudi Arabia Index
  9. S&P Quality Saudi Arabia Index
  10. S&P Saudi Arabia Quality, Value & Momentum Multi-factor Index
  11. S&P Saudi Arabia Shariah Low Volatility Index
  12. S&P Enhanced Value Saudi Arabia Shariah Index
  13. S&P Momentum Saudi Arabia Shariah Index
  14. S&P Quality Saudi Arabia Shariah Index
  15. S&P Saudi Arabia Shariah Quality, Value & Momentum Multi-factor Index

The methodology for the Pan-Arab factor indices is available at: www.spdji.com.

pdf-icon PD F Download Full Article
Processing ...