The Nasdaq OMX Group has launched two indices on the Global Index Data Service 2.0 – the Nasdaq IBIS Focused Growth Index (NQIBIS) and the Nasdaq IBIS Focused Growth Total Return Index (NQIBIST).
“These new indexes offer the unique viewpoint of accessing an absolute return strategy, while maintaining a rules-based and rigorous selection process,” says Dave Gedeon, managing director of Nasdaq OMX Global Indexes. “Partnering with IBIS Capital allows the market to benefit from both the tactical allocation models and rules-based index tracking.”
The Nasdaq IBIS Focused Growth Index uses IBIS Capital’s Quantitative Tactical Global Rotation Strategy, and will invest in exchange-traded funds covering large cap US equities, small cap US equities, developed market equities, and emerging market equities.
The selection of assets is determined through a proprietary technology for relative strength. During periods of weakness across global equity markets, the index will shift into either short-term, medium-term, or long-term US government bonds, depending upon prevailing interest rates.
“We are excited to partner with Nasdaq OMX Global Indexes, a pioneer in the space of innovative indexes,” says Neal McNeil III, CEO of IBIS Capital. “For decades investors have relied on traditional indexes to benchmark their performance. These new indexes will allow investors to think about benchmarking their portfolios globally and dynamically, with a focus on downside protection and upside participation of the equity markets.”