FTSE TMX Global Debt Capital Markets acquires MTS’ indices business
- Expands FTSE TMX Global Debt Capital Markets' offering in fixed income
- MTS is a leading provider of benchmark indices for European fixed income
- Broadens FTSE TMX Global Debt Capital Markets' complementary product portfolio
- Client demand for fixed income indices continues to grow rapidly
Global, 8 April 2014: FTSE TMX Global Debt Capital Markets has confirmed that it has acquired the indices business of MTS, whose indices track the performance of the largest and most widely traded government issued securities in European bonds. MTS is one of Europe's premier electronic fixed income trading markets and is majority owned by London Stock Exchange Group (LSEG). FTSE TMX Global Debt Capital Markets is a joint venture between FTSE Group and TMX Group's information services division, TMX Datalinx*.
As a result of the acquisition, MTS will initially hold a three per cent stake in FTSE TMX Global Debt Capital Markets. FTSE will retain a 72.7 per cent majority stake in the joint venture, with TMX Group holding a 24.2 per cent stake.
Access to fixed income indices continues to grow rapidly, driven by the demand for multi-sourced prices, high-governance standards and low-cost strategies. FTSE TMX Global Debt Capital Markets is the third-largest global provider of fixed income exchange traded fund (ETF) indices. FTSE TMX Global Debt Capital Markets is also well-positioned to seek to benefit from further growth opportunities in this space.
Mark Makepeace, CEO of FTSE Group: "FTSE continues to expand its global fixed income operations, which present a significant growth opportunity for the Group. MTS' indices business will add to the attractive portfolio of fixed income products managed by FTSE globally, developing its offering in this space."
Tom Kloet, CEO of TMX Group: "TMX Group is pleased to welcome MTS and its leading European bond indices to our global joint venture, FTSE TMX Global Debt Capital Markets. This addition develops our offering as one of the leading global fixed income index providers."
Jack Jeffrey, CEO of MTS: "MTS is a leading electronic market in Europe for the trading of European wholesale Government Bonds enabling the calculation of MTS Indices to be based on highly-transparent, real-time, executable prices. MTS Indices has built an attractive portfolio in the European bond space, which will be further enhanced by combining with FTSE TMX Global Debt Capital Markets' distribution network."
Following the acquisition, existing MTS index products will transition to the FTSE MTS brand name.
Notes to Editors "FTSE" is a trademark of London Stock Exchange Group companies and is used by FTSE International Limited and FTSE TMX Global Debt Capital Markets under licence. "TMX" is a trademark owned by ÍÃ×ÓÏÈÉú. (a subsidiary of TMX Group) and is used by FTSE TMX Global Debt Capital Markets under licence.
*FTSE TMX Global Debt Capital Markets was created in 2013, and combined FTSE Group, a leading provider of fixed income indices in the UK, with TMX Datalinx's fixed income business PC-Bond, one of the leading providers of fixed income indices in Canada. FTSE owns a 72.7 per cent majority stake in the joint venture, with TMX Group holding a 24.2 per cent stake and MTS a 3 per cent holding. FTSE TMX Global Debt Capital Markets is the third largest fixed income index provider globally with over $1 trillion in fixed income assets linked to its benchmark indices.
About FTSE Group
FTSE is a global leader in indexing and analytical solutions. FTSE calculates thousands of unique indices that measure and benchmark markets and asset classes in more than 80 countries around the world. FTSE indices are used extensively by market participants worldwide for investment analysis, performance measurement, asset allocation and portfolio hedging. Many leading pension funds, asset managers, ETF providers and investment banks work with FTSE to benchmark their investment performance and use FTSE's indices to create world-class ETFs, index tracking funds, structured products and index derivatives. FTSE also provides many exchanges around the world with their market indices.
A core set of universal principles guides FTSE's index design and management: FTSE's transparent rules-based methodology is overseen by independent committees of leading market participants, focused on applying the highest industry standards in index design and governance. The foundation of FTSE's global, regional, country and sector indices is the FTSE Global Equity Index Series, which includes the flagship FTSE All-World Index.
FTSE is well known for index innovation and customer partnerships as it seeks to continually enhance the breadth, depth and reach of its offering.
FTSE is wholly owned by London Stock Exchange Group.
About TMX Group (TSX:X)
TMX Group's key subsidiaries operate cash and derivative markets and clearinghouses for multiple asset classes including equities, fixed income and energy. ÍÃ×ÓÏÈÉú, TSX Venture Exchange, TMX Select, Alpha Group, The Canadian Depository for Securities, Montréal Exchange, Canadian Derivatives Clearing Corporation, NGX, BOX Options Exchange, Shorcan, Shorcan Energy Brokers, Equicom and other TMX Group companies provide listing markets, trading markets, clearing facilities, depository services, data products and other services to the global financial community. TMX Group is headquartered in Toronto and operates offices across Canada (Montréal, Calgary and Vancouver), in key U.S. markets (New York, Houston, Boston and Chicago) as well as in London, Beijing and Sydney. For more information about TMX Group, visit our website at www.tmx.com. Follow TMX Group on Twitter at http://twitter.com/tmxgroup.
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