S&P Dow Jones Indices and the Mexican Stock Exchange Announce Agreement for Index Licensing, Distribution, and Management of BMV Indices
- Agreement in Principle Paves Way for Greater Collaboration Between Both Parties
- Includes all BMV Indices, as well as its Flagship Index, IPC (Indice de Precios y Cotizaciones)
- BMV Indices Will Be Made Available Internationally
- S&P DJI Expands Growing Presence in Latin America; Intends to Broaden Suite of Mexican Indices
- All Indices to be Co-Branded
NEW YORK and MEXICO CITY, July 21, 2014 /PRNewswire/ -- S&P Dow Jones Indices (S&P DJI), one of the world's leading providers of financial market indices, today announced that it has reached an agreement in principle with the Mexican Stock Exchange (Bolsa Mexicana de Valores, BMV) to license all of the BMV indices including their flagship index, IPC (Indice de Precios y Cotizaciones) - the broadest indicator of the BMV's overall performance. The final agreement is subject to definitive approvals.
S&P DJI will assume the marketing and commercial licensing of the BMV indices with the intent to jointly create new indices with the BMV. This agreement allows to S&P DJI to eventually calculate all of the BMV indices. The BMV currently publishes several leading stock market indices, each liquid enough to serve as the basis for potential derivative products and ETF's.
"The BMV is the 5th largest exchange in the Americas (ranked by domestic market capitalization) and 2nd largest exchange in Latin America," said Alex Matturri, CEO of S&P Dow Jones Indices. "With over 140 listed companies trading on the Exchange, it is the premier destination for international and domestic investors seeking access to the growing Mexican equity market. The BMV indices are well recognized internationally as the main benchmarks for the Mexican markets. We are excited to bring the S&P brand, and along with it, our indistinguishable characteristics of integrity, transparency and independence, to the BMV family of indices."
Luis Tellez, Chairman of the Board and CEO of BMV said: "The leadership of S&P Dow Jones Indices and its worldwide recognition were the most important assets valued by BMV's Board of Directors in order to have a licensing agreement in place that will broaden our coverage and other strengths well recognized by the market. S&P Dow Jones Indices' 100+ years of indexing experience adds an important value to BMV in its indices business. The Mexican market and its participants will now have more benchmarks measuring international trends and market health."
According to the agreement, the BMV will transition index calculation of its indices to SPDJI over time ensuring a smooth transition that will have minimal impact to existing and new clients. S&P DJI will be responsible for the commercial licensing of the indices and the end-of-day data while the BMV will continue to commercialize real-time index data. As part of the agreement, all current BMV indices will be co-branded S&P. Outside of branding, no changes are expected to be made in the near future to the methodology of the BMV indices that already are up to international standards. Together both companies will work in developing new indices to satisfy the evolving needs of the market.
About S&P Dow Jones Indices
S&P Dow Jones Indices LLC, a part of McGraw Hill Financial, is the world's largest, global resource for index-based concepts, data and research. Home to iconic financial market indicators, such as the S&P 500® and the Dow Jones Industrial Average™. S&P Dow Jones Indices LLC has over 115 years of experience constructing innovative and transparent solutions that fulfill the needs of investors. More assets are invested in products based upon our indices than any other provider in the world. With over 1,000,000 indices covering a wide range of asset classes across the globe, S&P Dow Jones Indices LLC defines the way investors measure and trade the markets. To learn more about our company, please visit www.spdji.com.
S&P® is a registered trademark of Standard & Poor's Financial Services LLC ("S&P"), a part of McGraw Hill Financial. Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones"). These trademarks have been licensed to S&P Dow Jones Indices LLC. It is not possible to invest directly in an index. S&P Dow Jones Indices LLC, Dow Jones, S&P and their respective affiliates (collectively "S&P Dow Jones Indices") do not sponsor, endorse, sell, or promote any investment fund or other investment vehicle that is offered by third parties and that seeks to provide an investment return based on the performance of any index. This document does not constitute an offer of services in jurisdictions where S&P Dow Jones Indices does not have the necessary licenses. S&P Dow Jones Indices receives compensation in connection with licensing its indices to third parties.
About the BMV Group
BMV Group is a fully integrated Exchange Group that operates cash, listed derivatives and OTC markets for multiple asset classes, including equities, fixed income and exchange traded funds, as well as custody, clearing and settlement facilities and data products for the local and international financial community. BMV is the second largest stock exchange in Latin America with a total market capitalization of over US$ 530 billion.
SOURCE BMV Group