European companies approve FTEurofirst’s stable of indices
Paul Garrido reports on the index series’s growing band of customers
The FTSEurofirst index series – a partnership between the FTSE group and continental stock exchange Euronext – is emerging as a preferred choice for both fund managers and providers of structured products in Europe.
France’s Ecureuil Gestion FCP, a subsidiary of banking organisation Groupe Caisse d’Epargne, has selected the FTSEurofirst 80 index to represent the eurozone in all structured products to be distributed through its extensive network over the next 12 months.
“This index is more diversified than the Dow Jones Euro Stoxx 50,” said Xavier Parain, director of financial engineering at Ecureuil Gestion in Paris. “It includes 80 stocks and its sectoral and geographical diversification is better.”
Mr Parain said that even though the index was new and rather unknown in the retail market, it would become one of the main euro market indices during the coming months.
“We know that there are other banks across Europe that will be using FTSEurofirst in the near future,” Mr Parain said, adding that La Poste – the French post office – was also using the index as one of the underlying indices of its guaranteed funds.
The index has also been selected by Barclays Global Investors (BGI), which has switched the underlying benchmark for the iShares FTSE Euro 100 and iShares Eurotop 100 to the FTSEurofirst Index series.
FTSE expects this move to consolidate interest in its FTSEurofirst series among other major European institutions, which could also have a positive impact on the development of trading in FTSEurofirst derivatives on Euronext.liffe.
