STOXX has launched the Dow Jones STOXX Private Equity 20 Index which tracks the performance of the 20 largest private equity companies in Europe.
The index is designed to underlie investment products.
The Dow Jones STOXX Private Equity 20 Index comprises companies classified as specialty finance or equity investment instruments according to the Industry Classification Benchmark (ICB). These companies must have a free-float market capitalisation of at least 75 billion euros and their main involvement, i.e. a minimum of 40 percent of their investment portfolio, in private equity such as venture capital, mezzanine and buy-out.
Furthermore, investments of components of the Dow Jones STOXX Private Equity 20 Index in companies which are included in the Dow Jones STOXX Global 1800 Index are restricted to 30 percent.
As of August 31, 2007, the Dow Jones STOXX Private Equity 20 Index had a 3-year annualised performance of 27.4 percent, whereas the Dow Jones STOXX 50 Index returned an annualised 12.7 percent in the same time period.