The FTSE Multinationals Index Series is a family of indexes that separates and measures the performance of multinational and local companies outside/inside the domestic region in which they are incorporated. The index series was developed by FTSE Russell in conjunction with Hewitt Bacon & Woodrow and Barclays Global Investors following an extensive research and consultation process to define a 'multinational' company. The underlying universe for the series is the FTSE Developed Index and the three domestic regions are defined as Americas, Asia/Pacific and Europe/Middle East/Africa.
Three key indexes have been designed based on this approach:
The index series provides market participants with a tool suitable to be used to identify and distinguish between companies exposed to local economic factors and those exposed to global economic factors.
Indexes within the series are suitable for use as benchmarks and as tools in the creation of financial products, such as index-linked funds, exchange traded funds (ETFs) and derivatives.
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.