Brazilian exchange BM&F Bovespa has started the calculation and publication, in real time, of four new indices, which together will make it possible to create exchange traded funds (ETFS).
The first of the new indices, the Brazil Broad-Based Index, debuts with 153 stocks and is designed to allow a broad view of the Brazilian stock market. It covers all of the stocks for companies listed on BM&F Bovespa that meet minimum liquidity criteria.
The second of the new indices, the Dividend Index measures the performance of shares in companies that the exchange considers outstanding in terms of remuneration to investors in dividends and interest on own capital in the 24 months previous to selection for the portfolio.
The Basic Materials Index is composed of shares thought to be most representative of the packaging, wood and paper, miscellaneous materials, mining, chemicals, steel and metallurgy sectors.
Meanwhile the Public Utilities Index aims to measure the performance of shares in companies that most represent the public utilities sector, which includes electricity, gas, water and sanitation.
The latest additions bring the exchange's total to 22 indices. There will be a revision every four months of the theoretical portfolios of the four new indices, as occurs with all other BM&F Bovespa indices.