NEW YORK, April 23, 2012 /PRNewswire/ -- S&P Indices saw a sharp rise in its ETF licensing activity during the first quarter of 2012, as 41 ETFs based on its indices were launched globally during the first three months of the year. The 41 ETFs launched during the first quarter represents more than half of the total number of S&P index-based ETFs launched for all of 2011. S&P Indices attributes the growth in ETF issuance to a maturing European and Asia-Pacific ETF market.
"Investor interest in ETFs, especially outside of the States, is rapidly increasing as these products are providing greater access to niche market segments and varying asset classes at fractions of the cost typically associated with actively managed products such as mutual funds – once the primary option available to invest in broad baskets of securities," says Alexander Matturri, Executive Managing Director at S&P Indices. "Our ETF business is becoming more international and we are well placed to offer product providers with an ever more varied set of indices to meet the growing and evolving needs of their clients."
The growth in S&P based ETF issuance was lead by S&P Indices' international business, as 23 ETFs were launched in Europe during the first quarter. In addition, 9 ETFs were issued by product providers in Asia-Pacific and 1 in Canada during the first three months of 2012.
Lyxor, PowerShares and Mirae Asset Management were among the top providers launching S&P index-based ETFs in the first quarter. Ten of the first quarter ETF launches provided varying access to the international commodities markets, while 27 targeted various equity asset classes.
Also announced by S&P Indices during the first quarter, but separate from these results, is a landmark licensing agreement with Bovespa, the largest equity and futures exchange in Latin America, for the listing of S&P 500 Index futures to be settled in Brazilian real. In addition, S&P Indices expanded its suite of low volatility indices in the first quarter leading to licensing agreements with PowerShares for potential exchange traded products based upon these widely followed indices.
"Product providers and issuers are choosing S&P Indices for the power of our brand, longevity of our business and knowledge of our trade," continues Matturri. "They rest comfortably at night knowing that 90+ years of indexing expertise and innovation is underlying their products."
About S&P Indices
S&P Indices, a leading brand of the McGraw-Hill Companies (NYSE: MHP), maintains a wide variety of investable and benchmark indices to meet an array of investor needs. Over $1.45 trillion is directly indexed to our indices, which includes the S&P 500, the world's most followed stock market index, the S&P/Case-Shiller Home Price Indices, the leading measure of U.S. home prices, the S&P Global BMI, an index with approximately 11,000 constituents, the S&P GSCI, the industry's most closely watched commodities index, and the S&P National AMT-Free Municipal Bond Index, the premier investable index for U.S. municipal bonds. For more information, please visit: www.standardandpoors.com/indices.
It is not possible to invest directly in an index. S&P Indices does not sponsor, endorse, sell, or promote any S&P index-based investment product. This document does not constitute an offer of services in jurisdictions where S&P Indices or its affiliates do not have the necessary licenses. S&P Indices receives compensation in connection with licensing its indices to third parties.
SOURCE S&P Indices