MSCI, S&P Indices and FTSE have created the Index Industry Association, the three major index providers said Tuesday.
The association will serve as an official, representative body for the global index industry. It will advocate for the interests of index users and providers worldwide, and aim to educate investors on the attributes and role of indices within the investment process.
“The launch of this association signifies an important milestone for the index industry. The IIA will promote the agenda of our industry and push for new, universal standards for best practice, independence and transparency,” said the chief executives of MSCI, S&P Indices and FTSE, Henry Fernandez, Alexander Matturri and Mark Makepeace.
Created as a not-for-profit institution, the IIA will be open to membership from index businesses worldwide. It will function as an independent organisation with dedicated resources, representing a global membership from its headquarters in New York.
“This independent membership structure will enable the IIA to focus on its key objectives, including the support of intellectual property rights, and to work with relevant regulatory bodies around the world for the benefit of the industry and its clients,” the firms said.
The initial board of directors will comprise representatives of the founding companies, and representatives from the membership. A search is currently underway for an executive director to lead the IIA.