The index "Macquarie Emerging Markets Infrastructure and Development Index" (MEMIDI) would move according to the performance of 50 largest emerging markets infrastructure- related companies, a company statement said.
The index would track the spending by the evolving middle class in emerging markets referred to by Macquarie Research as "Generation A" and consisting of aspiring urbanities. The research firm believes that people in this class are driving the infrastructure expansion with their demands for more electricity, roads, railways and telecommunications.
Gen 'A' include people who are highly driven and have made the decision to move from the rural areas to urban centres and move up the chain. Macquarie's research forecasts this trend to be a key driver of global growth, while MEMIDI would reflect the industrialisation of emerging countries.
Massive size of Generation A ensures it will be the most influential generation in recent world history. The mega-trend in the global economy right now is the rise of Generation A.
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"This year, for the first time in history, the world's urban population will equal the rural population," Macquarie Research Equities strategist Stewart Ferns said.
The index includes firms directly benefiting from this trend, which is what investors are looking for, Ferns said. Infrastructure and development stocks that make up the index are ranked by market cap, with a 10 per cent cap on individual constituents effective on quarterly dates. The index would be available in several currencies, US dollars, Sterling, Australian dollars and Japanese yen.