Under the S&P South Africa Composite, which measures the performance of companies actively traded and listed on the Johannesburg Stock Exchange (JSE), the eight branded indices cover foreign and domestic domiciled companies with float-adjusted market values of 100 million US dollars or more, and annual dollar value traded of at least 50 million US dollars.
“S&P Dow Jones Indices is very excited to launch the S&P South Africa Composite and this new series of indices, bringing greater index based measurement and transparency to the South African market and its investors,” said S&P Dow Jones Indices’ senior director, Vinit Srivastava.
“In addition, the launch of the S&P South Africa Dividend Aristocrats and the S&P South Africa Low Volatility Index represent the first time that investors here will be able to measure the performance of long-time dividend payers and low volatility issues.”
S&P Dow Jones Indices, a global resource for index-based concepts, data and research, has also licensed the S&P South Africa Dividend Aristocrats and the S&P South Africa Low Volatility Index to Grindrod Bank for potential exchange-traded fund (ETF) development.
“Grindrod Bank intends to add two new ‘Smart Beta’ ETFs to its Gtrax suite of ETFs, both of which will be aligned to both the low volatility and dividend aristocrat themes. These themes have proven to be enormously popular with investors abroad,” said Gareth Stobie, head of capital markets at Grindrod Bank.
“We are excited to provide South African investors with access to these strategies on the local exchange through Grindrod Bank.”
Other indices that fall under the South Africa Composite include the S&P South Africa Composite Capped, the S&P South Africa 50, the S&P South Africa 50 Equal Weight, the S&P South Africa Completion, the S&P South Africa Composite Shariah and the S&P South Africa Composite Shariah Capped.