Bucharest Stock Exchange becomes Benchmark Indices Administrator according to new regulations at European level
Bucharest Stock Exchange (BVB) has become a Benchmark Indices Administrator, following its registration in this quality by the Financial Supervisory Authority (ASF), in accordance with the new European Benchmarks Regulation (BMR). This new license is a reflection of the high standards, quality and integrity applied by BVB in the development and calculation of benchmark indices.
“The license granted by ASF to the Bucharest Stock Exchange as Benchmark Indices Administrator for the Romanian capital market is a recognition of BVB as a center of competence for these indices, given that they already comply with European regulatory standards. It is the result of a strong pre-existing governance and the work of all members of the BVB Index Commission, specialists with a strong investment background. At the same time, this recognition is a commitment for BVB to continue applying high standards in the management of indices, so as to offer to our users quality, reliable and investible indices”, said Adrian Tanase, CEO of Bucharest Stock Exchange.
“The European reference regulation is the most important legislative reference for the indices industry and is a global standard of excellence in the provision of these services. Benchmark indices are a vital component of the investment ecosystem, as they are a benchmark in the independent evaluation of the performance of investment managers. At the same time, the indices are the basis for creating marketable investment products that offer investors access to a wide and diversified range of investment opportunities and strategies”, said Radu Hanga, BVB’s Chairman of the Board.
BMR introduces a set of rules applicable to benchmark managers to ensure the accuracy and integrity of indices used in the EU. Thus, BMR requirements ensure the optimization and high quality of index management processes, the supervision of the calculation method, as well as the transparency and accessibility of data for users.
Bucharest Stock Exchange calculates and manages eight stock indices, out of which BET is the most representative and reflects the evolution of the most liquid 17 shares listed on the Regulated Market. BVB also calculates two Total Return variants of BET and BET-XT indices, these Total Return indices include also the dividends distributed by the component companies of these indices.