TAIPEI, Taiwan, Jan. 27, 2014 /PRNewswire/ -- S&P Dow Jones Indices, one of the world's leading providers of financial market indices, today announced the signing of a strategic agreement with the Taiwan Stock Exchange ("TWSE") and the launch of the S&P/TWSE Taiwan Low Volatility High Dividend Index.
The strategic agreement between S&P Dow Jones Indices and the Taiwan Stock Exchange will bring both parties to a closer working relationship for index maintenance, development, distribution, and co-branding.
As the first co-branded index launched, the S&P/TWSE Taiwan Low Volatility High Dividend Index is designed to serve as a benchmark for income-seeking equity investors, measuring the performance of 40 high-yielding companies within the S&P Taiwan BMI. The S&P/TWSE Taiwan Low Volatility High Dividend Index represents a balance between dividend yield and volatility, while ensuring diversification across individual stocks and sectors. Its stock selection criteria include: a 3-month average daily traded value above 100 million TWD; at least one year since issuance and trading before the rebalancing date; and non-zero dividend in the prior twelve months. The Index is weighted by trailing 12-month dividend yield, with constituents to be re-weighted semi-annually and reviewed twice a year in April and October.
"As more investors look to Taiwan as a growing market, S&P Dow Jones Indices' agreement with the Taiwan Stock Exchange will be a momentous step in creating diversified market indices, starting with Taiwanese equities," says Alex Matturri, CEO of S&P Dow Jones Indices. "Today's announcement and index launch is a further sign of our commitment to Greater China and to facilitating access to equity market intelligence in the region."
"Taiwan Stock Exchange is very pleased to announce this strategic agreement with S&P Dow Jones Indices," says Sush-Der Lee, Chairman of Taiwan Stock Exchange. "We look forward to further expanding opportunities for global investors to tap into the Taiwan market."
S&P Dow Jones Indices recently launched the S&P Total Greater China BMI, which includes the S&P Taiwan BMI, as well as S&P Hong Kong BMI and S&P Total China BMI. The S&P Total Greater China BMI is part of the S&P Total China BMI family of five indices. The latest addition of S&P/TWSE Taiwan Low Volatility High Dividend Index further strengthens S&P Dow Jones Indices' line-up of Greater China products.
For more information, please visit: www.spdji.com.
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 830,000 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.
Standard & Poor's and S&P are registered trademarks of Standard & Poor's Financial Services LLC, 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.
SOURCE S&P Dow Jones Indices