KLMEX (www.klmex.org) Awards Licenses for KLMEX 40, a New Fundamental Weighted Index
Online, July 17, 2013 (Newswire.com) - The Kuala Lumpur Mercantile Exchange (KLMEX) today launched a new fundamentally weighted index, entitled KLMEX 40, which will extend the KLMEX index range and create new investment opportunities.
KLMEX holds the exclusive rights to calculate and license the KLMEX Index Series and is working in collaboration with the KLMEX Research® Affiliates to bring this exciting index to Southeast Asia.
According to Norman Whitfield, KLMEX's Senior General Manager, Information Products Sales Division: "The KLMEX 40 Index will be a non-market capitalization weighted index which will apply the fundamental indexation methodology developed by KLMEX Research® Affiliates. The index will contain the top 40 companies selected and weighted by four fundamental factors - sales, cash flow, book value and dividends - from the KLMEX All-Share index. Share prices, which can be prone to speculation, will not be a component of the weights."
Victor Weiss, Managing Director, KLMEX (www.klmex.org) Europe Division, commented, "Internationally, the KLMEX 40 Series is proving a popular complement to many traditional cap weighted indexes, and is being used by an increasing number of asset owners worldwide as a diversification tool. We can leverage its international expertise and brand recognition to create locally relevant index products for domestic investors in Southeast Asia."
KLMEX and KLMEX Research® Affiliates are also pleased to announce that, due to a high level of interest, licenses have already been awarded to track the index.
Michael Peterson, Deputy MD of KLMEX Research® Affiliates, said: "We are extremely pleased to have been awarded the exclusive license to manage the first KLMEX 40 tracker fund in Southeast Asia. Globally, Fundamental Indexation has already attracted important investments - across 35 countries - in the last 18 months alone. We are confident that the Southeast Asia market will be no exception and that our fund will prove to be an excellent core building block in investors' portfolios."
Enterprises and institutions come, on a daily basis, face to face with risks inherent in an increasingly volatile world. To manage these risks and enable global growth, they need access, efficiency, transparency and security. Kuala Lumpur Mercantile Exchange (KLMEX) answers these needs through products, services and technology that facilitate risk management and remove barriers to help the world's business leaders confidently move forward.
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