February 07, 2019

FTSE Russell introduces Market Based Allocation Index Series

  • Designed to represent the performance of multi-asset investment portfolios, covering equities, fixed income, cash and other investments
  • Five indexes ranging from Conservative to Aggressive, with objectively defined risk tolerance levels
  • Asset allocation weights determined using transparent data-driven methodology reflecting real world average allocations
  • Draws on FTSE Russell’s family of industry leading benchmarks including US and global equity and fixed income
  • Designed for use by the US wealth management and financial advisory community and other multi-asset investors

FTSE Russell today introduced the FTSE Market Based Allocation Index Series. The new series initially comprises five indexes designed for use by the US wealth management and financial advisory community and other multi-asset investors, bridging a gap in index coverage for this important and growing market and demonstrating FTSE Russell’s continued expansion of its multi-asset capabilities.

FTSE Russell developed this new index series in response to feedback from customers. US wealth managers, financial advisors and other multi-asset investors can now choose from five indexes, ranging from Conservative to Aggressive, with objectively defined risk profile levels. The asset allocation levels for each index reflect the average asset allocation levels of real-world multi-asset funds as reported in Morningstar’s fund database. The indexes are overseen by FTSE Russell’s global governance framework and can be used to benchmark asset allocation-based investment strategies or as the basis for portfolio construction and research.

Susan Quintin – Managing Director, Global Product Management, FTSE Russell, said:

“We’re excited to be able to draw on our extensive index capabilities across equity and fixed income to offer a unique tool to meet a clear need for our clients. The new index series bridges a gap in the investment community and will establish a new industry standard for defining risk tolerance levels and benchmarking asset allocation investment strategies.”

For more information on the FTSE Market Based Asset Allocation Index Series, go to the FTSE Russell website.

Global Media

Lucie Holloway, +44 (0)20 7797 122
Tim Benedict, 1 (917) 582 0641
newsroom@lseg.com

About FTSE Russell

FTSE Russell is a global index leader that provides innovative benchmarking, analytics and data solutions for investors worldwide. FTSE Russell calculates thousands of indexes that measure and benchmark markets and asset classes in more than 70 countries, covering 98% of the investable market globally. 

FTSE Russell index expertise and products are used extensively by institutional and retail investors globally. Approximately $16 trillion is currently benchmarked to FTSE Russell indexes. For over 30 years, leading asset owners, asset managers, ETF providers and investment banks have chosen FTSE Russell indexes to benchmark their investment performance and create ETFs, structured products and index-based derivatives. 

A core set of universal principles guides FTSE Russell index design and management: a transparent rules-based methodology is informed by independent committees of leading market participants. FTSE Russell is focused on applying the highest industry standards in index design and governance and embraces the IOSCO Principles. FTSE Russell is also focused on index innovation and customer partnerships as it seeks to enhance the breadth, depth and reach of its offering. 

FTSE Russell is wholly owned by London Stock Exchange Group. 

For more information, visit www.ftserussell.com.

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