Research & Insights

Three principles are outlined as essential to an index’s ability to effectively represent a market or market segment. Indexes that ignore these principles can undermine an index-tracking portfolio’s intended market exposure and risk/return profile.

As the global investment landscape continues to evolve, so does FTSE GEIS. Recently enhanced to include coverage of micro cap companies from both Developed and Emerging markets, FTSE GEIS provides investors with accurate, comprehensive coverage of global equities using an approach to index construction that is objective, transparent and reliable.

FTSE Russell announced the launch of its Stewardship, Transition and Engagement Program for Change (“STEP Change”) on May 30th 2018 with the first STEP Change report. In our STEP Change report, we provide an in-depth look at FTSE Russell’s approach to stewardship and illustrate how we conduct dialogue with companies. It includes what we have learnt from FTSE4Good and, how with leadership, we can lift market standards, including building ESG into core benchmarks.

Until recently, international investors’ access to the stocks of Chinese companies has been limited to equities listed in Hong Kong or overseas. This paper summarizes the history of China’s equity market and explains the differences between the many share classes available, helping investors understand how to gain comprehensive exposure to China’s equity markets via the total China concept.

FTSE Russell announced the promotion of Poland to Developed market status as part of the September 2017 FTSE Country Classification annual review of markets. This significant achievement is the first promotion of a country from Advanced Emerging to Developed market status to occur within the Country Classification scheme for nearly a decade.

The potential long-term benefits of including small cap stocks as part of a diversified, multi-asset portfolio have been well documented by numerous academic researchers and industry practitioners.

Foreign investment in onshore bonds rising as Bond Connect programme gradually takes flight.

We assess the benefits and drawbacks of the various single and multi-factor portfolio construction techniques using metrics such as factor exposure, the number of factors targeted, and concentration measures such as Effective N. On the basis of this analysis, we draw conclusions about which approach can deliver factor exposure in the most efficient manner.

FTSE Russell announced the classification of Saudi Arabia as a Secondary Emerging market within the FTSE Global Equity Index Series (GEIS) on March 28, 2018, as part of the Country Classification Interim Update. The Kingdom’s entry into the international equity markets marks a major milestone in its quest to grow and diversify its economy.