The S&P Select Frontier Index, a subset of the S&P/IFCG Extended Frontier 150, is comprised of 30 of the largest and most liquid stocks from countries that have smaller economies or less developed capital markets than traditional emerging markets and are therefore excluded from most emerging market benchmarks and investment funds. This index is designed to meet the increasingly sophisticated needs of global investors seeking to expand into markets with the potential for similar or greater returns than that in the better known emerging markets.
Index constituents exhibit the following characteristics:
Universe -Companies from S&P EMDB excluding those in the S&P/IFC Investable index
Weighting –Modified market capitalization scheme to ensure that no stock has a weight of more than 10%, and no country has more than five constituents or represents more than 30% of the index
Market Capitalization –At least US$ 100 million
Liquidity –Minimum value traded of US$ 2 million for the preceding 6 months as of the reference date
Trading Days –At least 15 days over each of the previous 6 months prior to the rebalancing
Index Governance and Policy
This index is maintained by the S&P/IFC Index Committee, whose members include Standard & Poor's economists and index analysts. It follows a set of published guidelines and policies that provide the transparent methodologies used to maintain the index. The Index Committee meets as necessary to review pending corporate actions that may affect index constituents. In addition, the Index Committee may revise index policy covering rules for selecting companies, share counts, Liquidity Threshold, the Market Cap Threshold, the Basket Liquidity, and Maximum Weight, or other matters.
With the longest history of all emerging market index series extending back to 1975, it is the source for the S&P Emerging Market Indices. New Product Packages Available November 1st.
Adobe Reader® required | 