Citywire - For Professional Investors

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

The SMI’s new name: SIX Swiss Exchange launches index amid regulatory changes

The SMI’s new name: SIX Swiss Exchange launches index amid regulatory changes

SIX Swiss Exchange has launched the SPI 20 to mirror the current SMI and keep the same non-capped strategy after the SMI has been altered.

The regulations and methodology of the SMI Index Family have been changed by the executive board at SIX Swiss Exchange, effective from 18 September 2017.

The weighting of the largest shares in the SMI will be capped at 18%.

An exact replica of the current SMI, the new SPI 20, which was launched on 4 July, comprises the 20 largest equities in the SPI, representing about 85% of the total capitalisation of the Swiss equity market.

As it currently stands, this amendment will affect the weightings of Novartis and Nestlé, to which the index has a position of 19.45% and 22.72% respectively.

The largest shares will be capped at the quarterly index reviews. As soon as the weightings of two shares in the index exceed 20%, they will be reduced to 18% between the reviews.

There will be a gradual reduction in the weightings of the largest components, reducing them by 3% each quarter until reaching a maximum of 18% of the SMI.

The new changes will bring the SMI into line with international regulations set by ESMA- Ucits Directive.

In the meantime, the SMI and the SPI 20 will run alongside one another with the same composition.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Events
  • Citywire DACH 2016

    Citywire DACH 2016

  • Citywire Switzerland 2016

    Citywire Switzerland 2016

  • Citywire Zurich Alt Ucits 2016

    Citywire Zurich Alt Ucits 2016

  • Citywire Zurich Alt Ucits 2016

    Citywire Zurich Alt Ucits 2016

  • Citywire Zurich Alt Ucits 2016

    Citywire Zurich Alt Ucits 2016

  • Citywire Montreux 2016

    Citywire Montreux 2016

  • Citywire Montreux 2016

    Citywire Montreux 2016

  • Citywire Montreux 2016

    Citywire Montreux 2016

  • Citywire Zurich 2016

    Citywire Zurich 2016

  • Citywire Zurich 2016

    Citywire Zurich 2016

  • Citywire Zurich 2016

    Citywire Zurich 2016

  • Citywire Switzerland 2015, Gstaad

    Citywire Switzerland 2015, Gstaad

  • Zurich Forum 2015

    Zurich Forum 2015

  • Zurich Forum 2015

    Zurich Forum 2015

  • Geneva Roundtable 2015

    Geneva Roundtable 2015

  • Geneva Forum 2015

    Geneva Forum 2015

  • Geneva Forum 2015

    Geneva Forum 2015

  • Citywire Gstaad 2014

    Citywire Gstaad 2014