News & Research

ETF flows can provide key information about the revealed preferences of investors. A STOXX paper analyzes fund purchases to determine the long-term choices across style, industry and regional exposures.

The products offer market participants liquid exposure to an industry whose sales are booming on demand from artificial intelligence, mobile gadgets and electronic vehicles.

As it turns 13, the STOXX Thematics index suite continues to grow, offering investors exposure to structural megratrends changing our modern world. We look at the historical performance of the indices and zoom in on 2023 – a year dominated by technology themes.

The sector composition of the Eurozone blue-chip benchmark looks very different from its inception 26 years ago. Most recently, two technology stocks – ASML and SAP – have had the biggest influence on the index’s direction, and may be re-positioning it in the eyes of investors.

What is the value of diversification? We can visualize it using a simple three-asset portfolio, observing how the risk-adjusted performance changes when varying the correlation. Correlation measures the degree to which two variables move in relation to each other, and serves as a guide as to how well assets can diversify each other.

Since 2020, the DAX indices have undergone a sustained evolution to have their rules adjusted and aligned with the needs of modern markets. As of March 2024, the indices’ methodology will change the way they treat corporate actions, while data distribution will move to the reporting system used by STOXX indices. Additionally, the indices’ weight cap for individual constituents will be raised from 10% to 15%.

Watch Michael Lewis, Head of Research for ESG at DWS, Hernando Cortina, Head of Index Strategy at ISS ESG, and Antonio Celeste, Director for Sustainable Product Management at STOXX, as they discuss the significance of biodiversity, and the tools to capture natural impact in both corporate and investment strategies.

Invesco has switched the underlying strategies for three US-listed ETFs that target technology themes to the following STOXX indices: STOXX® World AC NexGen Connectivity, STOXX® World AC NexGen Media, and STOXX® World AC NexGen Software Development. The change comes amid strong demand and performance for thematic strategies, particularly those exposed to technologies disrupting the global economy.

As part of STOXX’s 25th anniversary celebrations, we caught up with Stephan Leithner, member of the Executive Board and responsible for Pre- & Post-Trading businesses at Deutsche Börse Group; and with Axel Lomholt, General Manager at STOXX. We got their impressions on STOXX’s growth trajectory and asked them what lies ahead for an indexing industry immersed in full transformation.

Investing has transformed radically since STOXX Ltd. was born. After a quarter-century of change, we continue to innovate with a growing family of indexing solutions that are as smart as they are accurate and reliable.

The derivatives exchange with the broadest index offering globally and the leading European index provider have produced some of the most popular and creative index futures and options since both started operations 25 years ago. We catch up with Eurex’s CEO and STOXX’s General Manager to find out what’s next for this successful partnership.

Armelle Loeb, head of index sales for EMEA at STOXX, discusses the evolution and appeal of custom and factor-based indices, and why custom income strategies have delivered good performance.