It used to be that sustainability themes were mostly seen in equity indices as this asset class was the most popular among sustainability investors. But in recent years, sustainability has become embedded in indices for almost all asset classes and investment strategies in response to changing investor requirements and market conditions.
In fixed income, the climate change theme is catching on among index providers with FTSE Russell launching the Green Impact Bond Index, which covers investment-grade and high-yield multi-currency bonds issued by governments, supranational organizations and corporations.
In commodities, the renewable energy theme is embedded in new indices with the S&P Dow Jones Indices (S&P DJI) launching the S&P GSCI Electric Vehicle Metals Index. This index tracks commodities used in electric vehicle production.
The renewable energy theme is also generating new indices for equities. S&P DJI launched the S&P Kensho Hydrogen Economy Index, which tracks companies in the hydrogen economy. These are firms involved in hydrogen production; services and technology that enable the liquefaction of hydrogen and the movement of liquefied hydrogen from producer to end-consumer; hydrogen storage technologies; and the manufacturing and distribution of fuel cells.
These are just a few examples of indices with sustainability themes that are being used by asset managers and investors as the basis for their funds and investment strategies as they transition their portfolios to new market requirements.
Clients are also becoming more demanding of their index providers, increasingly seeking more product customization, quicker product delivery, and more comprehensive data and research.
It is in this context that we are announcing the winners of the Best Index Provider Awards of The Asset Triple A Private Capital Awards for Private Banks, Wealth & Investment Bank Advisers, Solutions and Index Providers 2022.
FTSE Russell’s ability to be nimble and accommodating of client requirements ranks it as the best among the Big Three index providers for product customization. Its strength in fixed income and sustainability is also reflected in its ability to win mandates in different markets and for different clients.
FTSE Russell is recognized as:
- Best Index Provider, Asia
- Best Index Provider, Fixed Income, Asia
- Best Index Provider, ESG, Asia
S&P Dow Jones Indices
S&P Dow Jones Indices continues to be the dominant index provider, particularly in equities, as it responds to challenging market conditions through adaptation and innovation, as well as by expanding its presence and offerings in the Asia-Pacific region.
S&P Down Jones Indices is recognized as:
- Best Index Provider, Equity, Asia
- Best Index Provider, Multi-Asset, Asia
- Best Index Provider, Commodities, Asia
- Best Index Provider, Strategy, Asia
- Best Index Provider, Innovation, Asia
- Best Index Provider, Thematic, Asia
- Best Index Provider, Digital Assets, Asia
China Securities Index
China Securities Index remains the dominant index provider in China. The number of passive funds tracking CSI-managed indices has increased by 40% year-on-year with assets under management (AUM) up by 22%. The index provider also launched more 100 green indices as of Q1 2022, with total AUM of 110 billion yuan (US$15.45 billion).
China Securities Index is recognized as:
- Best Index Provider, China
ChinaBond Pricing Center
ChinaBond Pricing Center is the leading index provider in China focused on fixed income. With more than 40 clients and partners, the firm continues to expand its product suite, and has been pushing the ESG theme rolling out new indices and improving the framework.
ChinaBond Pricing Center is recognized as:
- Best Index Provider, Fixed Income, China
- Best Index Provider, ESG, China
Shenzhen Securities Information
Shenzhen Securities Information has developed its own ESG ratings methodology in line with the international ESG framework. Its ESG database and ESG ratings system cover more than 4,000 A-share listed companies. The index provider also has launched a series of five carbon-neutral indices. It has rolled out another seven CNI HK Connect indices to tap cross-border opportunities.
Shenzhen Securities Information is recognized as:
- Best Index Provider, Innovation, China
- Best Index Provider, ESG, China – Highly Commended
CCX Indices focuses on institutional clients such as wealth management subsidiaries of banks, providing customized indices with high client satisfaction. Although a newcomer to the market, CCX Indices has been able to quickly expand the business by exercising agility in exploring opportunities and leveraging the research capabilities of its parent company.
CCX Indices is recognized as:
- Best Index Provider, Fixed Income, China – Rising Star
Please click here for a complete list of winners