Interactive Data Corporation, a provider of financial market data, analytics and related solutions, today announced that it is providing indicative optimised portfolio values (IOPVs) for exchange traded funds (ETFs) to the Tokyo Stock Exchange (TSE). Interactive Data will be calculating the IOPVs using its Basket Calculation Service on behalf of the TSE.
The Basket Calculation Service uses Interactive Data’s intraday fixed income valuations, real-time pricing and contributor data to calculate and deliver updated IOPVs for equity, commodity, fixed-income ETFs and exchange traded notes (ETNs) every 15 seconds. Interactive Data also offers intra-day calculations for global indices that include equities, fixed income securities, currencies and commodities. The service can help ETF sponsors access the information required to launch funds that contain a broader range of securities, facilitating further growth and diversification in the ETF market.
From 11 April 2011, the TSE will begin to provide IOPVs for ETFs every 15 seconds during auction trading hours and will publish the information on the TSE website and through their market datafeed. Investors will be able to compare ETF market prices with the IOPVs during TSE auction trading hours.
“The IOPV or indicative NAV offers better transparency of ETF assets,” said Akiyoshi Maruyama, director, information services department of the Tokyo Stock Exchange. “The publication of this information forms part of the TSE’s initiative to increase ETF liquidity and raise investor awareness.”
“We are very pleased to be working with the Tokyo Stock Exchange to provide this timely, mission-critical information,” said Roger Sargeant, managing director, International, Interactive Data. “The exchange-traded fund market in Asia Pacific is growing fast, with Japan being one of the largest markets. We continue to broaden our services for a wide range of leading ETF sponsors throughout the Asia Pacific region.”
A recent BlackRock survey of the ETF industry in Asia Pacific calculated that at the end of April 2010 there were 249 ETFs listed in the region with assets of $69.6bn, based on the primary listing, and BlackRock predicted 20-30 per cent growth over the near term.
Interactive Data currently calculates and disseminates intra-day indicative valuations for baskets of securities to a wide range of clients via its Basket Calculation Service. The Basket Calculation Service is offered by Interactive Data Pricing and Reference Data, Inc.
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