FTSE TMX Debt Capital Markets will be one of the leading global fixed income ETF index providers
Will combine TMX Datalinx's fixed income index business, PC-Bond, with FTSE's existing international fixed income business
TORONTO and LONDON, Feb. 27, 2013 /CNW/ - FTSE Group ("FTSE"), part of London Stock Exchange Group ("LSEG"), and TMX Group today announce that they have signed a definitive agreement to combine their fixed income index businesses in a new joint venture. FTSE TMX Debt Capital Markets will be the third largest fixed income exchange traded fund (ETF) index provider globally. Together these indices are used as benchmarks for more than C$1 trillion in fixed income assets. TMX Datalinx is TMX Group's information service division. Its fixed income index business, PC-Bond, will be combined with FTSE's existing international fixed income index business upon completion. PC-Bond is the leading provider of fixed income indices in Canada; FTSE is a leading provider of fixed income indices in the UK. FTSE will own a 75 per cent majority stake in the joint venture, with TMX Group holding a 25 per cent stake. FTSE TMX Debt Capital Markets will build on the successful track record of both organisations, combining the strengths of FTSE and TMX Datalinx to provide innovative fixed income index and analytical products and services. The transaction will significantly strengthen FTSE's position in fixed income, the second largest asset class globally with approximately C$13.7 trillion invested. It will also increase FTSE's profile in North America. For TMX Datalinx, the joint venture will enable more rapid global expansion as it exports its industry leading fixed income index and analytic capabilities by leveraging the global distribution reach of FTSE, one of the world's most recognised index brands.