The MSCI Europe Index is part of the Modern Index Strategy and represents the performance of large and mid-cap equities across 15 developed countries in Europe. The Index has a number of sub-Indexes which cover various sub-regions market segments/sizes, sectors and covers approximately 85% of the free float-adjusted market capitalization in each country.
MSCI EUROPE INDEX REFLECTS THE MODERN INDEX STRATEGY
MODERN
Evolves to measure and capture equity markets as they exist today. Our indexes are built using an innovative maintenance methodology that provides superior balance between the need for a stable index that is flexible enough to adjust quickly to a constantly changing opportunity set. We provide timely and consistent treatment of corporate events and synchronized rebalancings, globally.
SEAMLESS
Covers the full opportunity set and all its segments, including GICS® sectors. All of MSCI’s indexes are created using the Global Industry Classification Standard (GICS®), an industry classification system developed by MSCI and S&P Global, which provides a common framework to classify stocks. They offer exhaustive coverage of the investable opportunity set with non-overlapping size and style segmentation.
INTEGRATED
Consistent methodology for every market. Where other providers use either a long- or short-term liquidity measure to assess the eligibility of stocks for their indexes, MSCI uses both, recognizing the differences in liquidity between developed and emerging markets and enhancing the investability and replicability of our indexes. MSCI puts strong emphasis on investability and replicability of its indexes through the use of size and liquidity screens.
MSCI Europe Index: Covers more than 400 securities across large and mid-cap size segments and across style and sector segments in 15 developed markets. Performance | Factsheet
MSCI Europe IMI Index: Covers more than 1,300 securities across large, mid and small-cap size segments and across style and sector segments in 15 developed markets. Performance | Factsheet
MSCI Europe All Cap Index: Covers more than 2,700 securities across large, mid, small and micro-cap size segments and across style and sector segments in 15 developed markets. Performance
Asset allocation: Consistent, broad representation of the performance of European developed equity markets
Performance measurement and attribution: A benchmark for European developed markets equity mandates, with various sub-regions and thematic subsets available for more targeted investment mandates
Research: A trusted source for developed markets equity performance and underlying security-level data for sell-side research
Investment product development: May be licensed for use as the basis for structured products and other index-linked investment vehicles, such as Exchange Traded Funds (ETFs) and Exchange Traded Notes
A Building Block Approach
Our building block approach
MSCI Europe Indexes offer a building block approach with a rules-based, consistent and transparent methodology.
Using MSCI Europe as a framework to build portfolios helps to avoid unintended bets and risks.
Robust foundation allows investors to measure exposure to all sources of equity returns using a single global framework.
