NASDAQ OMX adopts ICB Company classification standard globally
Stockholm, October 26, 2011 - NASDAQ OMX has decided to adopt the ICB (Industry Classification Benchmark) standard globally, effective as of February 1, 2012. The NASDAQ OMX exchanges in Stockholm, Copenhagen, Helsinki, Reykjavik, Tallinn, Riga, and Vilnius will adopt ICB which is the current standard on the NASDAQ OMX exchanges in the US.
“As a result of this action, our listed companies can more effectively benchmark with global peers, a total of 75,000 securities, compared to 40,000 previously. It also enables us to create consistent and comprehensive global indexes, enabling individual and institutional investors to quickly, accurately, and objectively measure and invest in the market”, Jenny Rosberg, Senior Vice President Global Corporate Client Group at NASDAQ OMX says.
ICB is a widely used global standard for company classification, with four levels of granularity - industry, supersectors, sectors and subsectors. The transparent and comprehensive system is adopted by stock exchanges around the world, representing over 65 percent of the world’s market capitalisation. With over 75,000 securities across 73 countries, ICB provides extensive geographic reach, offering investors the widest choice, for the purposes of benchmarking, performance measurement or research/analysis. The ICB standard is maintained by the FTSE Group.
All NASDAQ OMX local and regional sector indexes, based on the GICS structure, will be discontinued as of February 1, 2012, and replaced by equivalent indexes based on the ICB structure, including more than 10 years of historical data.
All selected indexes, such as the Benchmark-series and Tradable Sectors, will have their selection methods revised early 2012. The revised rules will be made effective in connection to the mid-year reviews in June, 2012.
More information on: www.nasdaqomx.com/classificationchanges
About NASDAQ OMX
The NASDAQ OMX Group, Inc. is the world's largest exchange company. It delivers trading, exchange technology and public company services across six continents, with more than 3,500 listed companies. NASDAQ OMX offers multiple capital raising solutions to companies around the globe, including its U.S. listings market, NASDAQ OMX Nordic, NASDAQ OMX Baltic, NASDAQ OMX First North, and the U.S. 144A sector. The company offers trading across multiple asset classes including equities, derivatives, debt, commodities, structured products and exchange-traded funds. NASDAQ OMX technology supports the operations of over 70 exchanges, clearing organizations and central securities depositories in more than 50 countries. NASDAQ OMX Nordic and NASDAQ OMX Baltic are not legal entities but describe the common offering from NASDAQ OMX exchanges in Helsinki, Copenhagen, Stockholm, Iceland, Tallinn, Riga, and Vilnius. For more information about NASDAQ OMX, visit http://www.nasdaqomx.com. Please follow NASDAQ OMX on Facebook (http://www.facebook.com/nasdaqomx) and Twitter (http://www.twitter.com/nasdaqomx).
About FTSE Group
FTSE Group (FTSE) is a world-leader in the provision of global index and analytical solutions. FTSE calculates indices across a wide range of asset classes, on both a standard and custom basis. FTSE indices are used extensively by investors worldwide for investment analysis, performance measurement, asset allocation, portfolio hedging and the creation of a wide range of index derivatives, funds, Exchange Traded Funds (ETFs), and other structured products.FTSE has built an enviable reputation for the reliability and accuracy of our indices and related data services. FTSE has a long tradition of listening and responding to the market so that it is at the forefront of developing new approaches to index design, many of which are now accepted as the market standard. FTSE prides itself in continuing to invest significant resource in researching and developing new index solutions.
The foundation for FTSE’s global, regional, country and sector indices is the FTSE global equity universe, which covers over 8,000 securities in 48 different countries and captures 98% of the world’s investable market capitalisation. FTSE’s flagship global benchmark, the FTSE All-World, is used by investors worldwide to structure and benchmark their international equity portfolios. Exchanges around the world have chosen FTSE to calculate their domestic indices. These include ATHEX, Bolsas y Mercados Españoles, Borsa Italiana, Bursa Malaysia, Casablanca SE, Cyprus Stock Exchange, IDX, JSE, LSE, NASDAQ Dubai, NYSE Euronext, PSE, SGX, Stock Exchange of Thailand and TWSE. In addition, FTSE works with a variety of companies and associations to deliver innovative index solutions which provide the market with fresh opportunities. For more information visit www.ftse.com
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