The Value Index family Our Value Index family are equity indices that use a value-based methodology designed by Value Partners Index Services Limited. The indices are calculated and maintained by FTSE Group. The Value Index family currently includes:
• FTSE Value-Stocks China Index The indices aim to capture the performance of quality value stocks from pools of liquid and tradable companies listed on their respective exchanges. Each Value Index combines Value Partners' proven track record in disciplined value investing, with FTSE's globally recognized index expertise. In contrast to many indices that aim to passively reflect their broader markets, our indices aim to generate alpha by applying our proprietary value-screening process to all the constituents in our indices, a process that identifies quality yet overlooked value stocks. Since low company valuations alone do not directly result in attractive value investments, the Value Index screening process helps us avoid value traps and focus on quality. This means we exclude companies that are highly leveraged and offer thin profit margins. Moreover, each Value Index benefits from our unique contrarian filter, which is used to avoid stocks with consensus-analyst "buy" calls, which have notoriously lagged behind market movements. Using a unique, transparent, and rules-based value methodology, we create value benchmarks that help us identify which constituents within each Value Index we should include or exclude. Our Value Index family has been designed to be used as the basis of ETFs and other derivatives. |