Announcement Guideline change implementation | Solactive Australian Government 7-12 Year AUD TR Index |

With the Guideline change announced on 30th July (https://www.solactive.com/guideline-change-solactive-australian-government-7-12-year-aud-tr-index-effective-date/) the index calculation method was adjusted so that instead of evaluated Bid prices evaluated Mid prices are used for the calculation of the index level.
In order to perform a return neutral implementation of the change from 31st July to 1st August 2019 the index level on 1st August 2019 was calculated using the  mid prices per bond for 31st July 2019 and the originally calculated index level for 31st July 2019. With this treatment the index level change from 31st July 2019 to 1st August 2019 is only reflecting the actual market movements (change in bond prices) instead of showing the market movements plus the difference between bid and mid prices.