FTSE Currency Forward Rate Bias (FRB) Index Series

The FTSE Currency Forward Rate Bias (FRB) Index Series is designed to capture the return generated from a defined set of equally-weighted currency pairs. This return is attributable to the Forward Rate Bias (FRB), also known as “carry”, in the currency markets. The series aims to offer a diversification option outside of traditional equity and fixed income indexes.

The FTSE Currency FRB5 Indexes consist of ten currency pairs that can be created from the five most widely-traded currencies – US Dollar, Euro, Japanese Yen, Pound Sterling and Swiss Franc.

The FRB10 Indexes consist of 45 currency pairs and introduces a further five currencies to those already featured in the FRB5 Indexes. The additional currencies are Australian Dollar, Canadian Dollar, New Zealand Dollar, Norwegian Krona and Swedish Krone.

The FRB indexes can be used as tools for index-tracking management and for benchmarking purposes.

Index rules should be read in conjunction with supportingFTSE Russell noticesThese notices advise of advance changes in index methodology, which may not be reflected in index rules until the change effective date. The notices may also communicate revisions in index treatment in the period up to a rule change.