TORONTO, Dec. 20 /CNW/ - Standard & Poor's, the world's leading index
provider, and TSX Group Inc., operator of Toronto Stock Exchange and
Montreal Exchange, announced today the launch of the S&P/TSX Equity
Income Index and the S&P/TSX Composite Dividend Index, providing
Canadian investors with two new innovative ways of measuring higher
The S&P/TSX Equity Income Index is a strategy index focused on dividend
income and comprised of 50 to 75 stocks selected from the S&P/TSX
Composite, the headline index and principal broad market measure for
the Canadian equity market. All stocks in the S&P/TSX Equity Income
Index have a non-zero indicated annual dividend yield and are existing
members of the S&P/TSX Composite.
The S&P/TSX Equity Income Index meets the Canadian investing community's
desire for a new high yield, high dividend index to replace the S&P/TSX
Income Trust Index which will lose most of its constituents on December
31, 2010 as many non-REIT income trusts in Canada are converting to
corporate structure. The S&P/TSX Income Trust Index will continue to be
calculated and published by Standard & Poor's.
The S&P/TSX Composite Dividend Index aims to provide a broad-based
benchmark of Canadian dividend-paying stocks. The Index includes all
stocks in the S&P/TSX Composite with positive annual dividend yields as
of the latest rebalancing of the S&P/TSX Composite.
"The launch of these two new indices is the direct result of several
consultations with the Canadian investment community, including
industry leaders in income investing," says Abigail Etches, Director at
S&P Indices. "The S&P/TSX Equity Income Index and the S&P/TSX Composite
Dividend Index will provide investors with exposure to higher yielding
stocks on a consistent basis while staying true to our hallmark of a
transparent, rules-based methodology."
For more information about the S&P/TSX Equity Income Index and the
S&P/TSX Composite Dividend Index, please visit www.standardandpoors.com/indices.
About S&P Indices
S&P Indices, the world's leading index provider, maintains a wide
variety of investable and benchmark indices to meet an array of
investor needs. Over $1.25 trillion is directly indexed to Standard &
Poor's family of indices, which includes the S&P 500, the world's most
followed stock market index, the S&P/Case-Shiller Home Price Indices,
the leading measure of U.S. home prices, the S&P Global BMI, an index
with approximately 11,000 constituents, the S&P GSCI, the industry's
most closely watched commodities index, and the S&P National AMT-Free
Municipal Bond Index, the premier investable index for U.S. municipal
bonds. For more information, please visit www.standardandpoors.com/indices.
About TMX Group (TSX-X)
TMX Group's key subsidiaries operate cash and derivative markets for
multiple asset classes including equities, fixed income and energy.
Toronto Stock Exchange, TSX Venture Exchange, Montreal Exchange,
Natural Gas Exchange, Boston Options Exchange (BOX), Shorcan, Equicom
and other TMX Group companies provide trading markets, clearing
facilities, data products and other services to the global financial
community. TMX Group is headquartered in Toronto with offices in
Montreal, Calgary and Vancouver. For more information about TMX Group,
visit our website at www.tmx.com.
Exposure to an asset class is available through investable instruments
based on an index. It is not possible to invest directly in an index.
S&P does not sponsor, endorse, sell, promote or manage any investment
fund or other vehicle that is offered by third parties and that seek to
provide an investment return based on the returns of any S&P Index.
SOURCE Standard & Poor's Canadian Index Operations
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