Vanguard’s decision to switch to FTSE Indices has put exchange traded fund indexing in the spotlight, and now FTSE Group will launch its own exchange traded product service unit to help foster growth between the index provider and other potential fund sponsors.
“The creation of FTSE’s new dedicated ETP Service Unit is the latest step in a strategy designed to deliver the best possible index and service solutions to our clients globally,” Mark Makepeace, CEO, FTSE Group, said in a press release.
The new service unit will bring dedicated research and relationship management resources together with clients to develop ETP index options. The unit will be headed by Jonathan Horton, President, FTSE North America.
FTSE expects global ETP assets to continue to grow as investors search for low-cost, transparent and diversified investment options.
Earlier this month, Vanguard announced that it will replace six international equity ETFs tied to MSCI indices with FTSE benchmarks. [What Vanguard’s Index Swap Means for ETF Investors]
In a recent interview, Horton explained the Vanguard partnership as a “huge win for us,” describing the new relationship as “transformational for the index industry and transformational for the ETF marketplace.”
For more information on the ETF industry, visit our current affairs category.
Max Chen contributed to this article.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.
- FTSE Group
- exchange traded fund