After expiry of its licensing agreement for benchmark indices of the National Stock Exchange (NSE) earlier this month, S&P Dow Jones Indices has now tied up with the Bombay Stock Exchange (BSE) to calculate, disseminate and license the widely followed suite of BSE indices.
“The partnership allows S&P Dow Jones Indices to further implement its South Asia growth strategy. It also permits S&P Dow Jones Indices to have a fourth major operational hub by which to support clients globally, with major operations in Hong Kong, London, New York, and now India,” said a joint release from BSE and S&P Dow Jones Indices.
“We expect our partnership with S&P Dow Jones Indices will help BSE to raise the growing global acceptance of the Sensex and other BSE index benchmarks, and to help BSE achieve a leadership position in the index derivatives space,” noted Ashish Chauhan, MD and CEO of BSE.
Effective on Tuesday, each of the BSE indices will be co-branded ‘S&P’ including the BSE Sensex, BSE 200 and BSE 100.
These indices will join S&P Dow Jones Indices’ other iconic financial market indicators such as the S&P 500, the Dow Jones Industrial Average, the S&P/TSX 60, and the S&P/ASX 200 in providing global investors with must-have views of the overall health and direction of the world’s financial markets, the release goes on to say.
Earlier, S&P had a licensing arrangement with India Index Services & Products Ltd, a joint venture between NSE and Indian ratings agency and S&P group firm CRISIL, under which the Indian bourse was using the S&P trademark in the names of its various indices including market benchmark Nifty. Following this, the S&P CNX Nifty Index has been renamed as the CNX Nifty Index, while “S&P” trademark has also been dropped from names of other indices such as Defty, Nifty Dividend, CNX 500, Nifty Shariah, CNX 500 Shariah and CNX Industry Indices.
