Methodology Change | E-Mobilität Batterie Index | Effective Date 28/01/2021

Today, on the 27/01/2021, Solactive announces the following changes to the methodology of the following Index (the ‘Affected Index’):

Rationale for Methodology Change

Solactive has determined that the lack of specification of the sector of exposure of the Affected Index under section 1 poses some operational risks.  The sector of exposure of the Affected Index will be specified and will henceforth serve as a review criteria under section 2.2 . Also, the definition of the “Review Day” listed under section 4 will be updated to streamline the adjustment process and reduce the operational risks. Additionally, the current rules for the Affected Index adjustment, regarding the amount of time between the Review Day and the Adjustment Day under section 4 will increase from 2  to 5 Calculation Day in order to reduce the operational risks. Finally, the definition of the Trading Day under section 4 will be updated to clarify and the eligible Adjustment Days.  

Changes to the Index Guideline

The following Methodology changes will be implemented in the following points of the Index Guideline.

The wording in section 1 of the Guideline will be changed.

From (old version):

 “[…]

The Index tracks the performance of 10 chosen securities

To (new version):

“[…]

The Index tracks the performance of chosen securities active in the value chain of battery production for mobility.

The wording in section 2.2 of the Index Guideline will be changed.

From (old version):

 “[….]

The Index will be reviewed on a monthly basis if all constituents fulfill the following criteria.

• Market Capitalization equal or greater than 80 million USD. (a)
• A one-month average daily value traded equal or greater than 150.000 USD. (b)
• The maximum weight of a company is 25%. (c)

To (new version):

“[…]

The Index will be reviewed on a monthly basis to assess whether all constituents fulfill the following criteria.

• Market Capitalization equal or greater than 80 million USD. (a)
• A one-month average daily value traded equal or greater than 150.000 USD. (b)
• Active value chain of battery production for mobility. (c)
• The maximum weight of a company is 25%. (d)

The wording in section 4 of the Index Guideline will be changed.

From (old version):

 “[….]

The “Adjustment Day” is after close of business of two Business Days after the Review Date. If that day is not a Trading Day, the Adjustment Day will be the following Trading Day.

[….]

A “Review Date” is the first calculation day of each month. The review takes place based upon data from the last Calculation Day of the previous month.

[….]

A “Trading Day” is in relation to the Index or an Index Component a Trading Day on the Exchange (or a day that would have been such a day if a market disruption had not occurred), excluding days on which trading
may be ceased prior to the normal Exchange closing time. The Index Administrator is ultimately responsible as to whether a certain day is a Trading Day with regard to the Index or an Index Component or in any other connection relating to this document

To (new version):

“[…]

The “Adjustment Day” is after close of business five Calculation Days after to the Review Day. If that day is not a Trading Day, the Adjustment Day will be the following Trading Day.

[….]

A “Review Day” is the last Calculation Day of each month.

[….]

A “Trading Day” is with respect to an Index Component a day on which the relevant Exchange is open for trading (or a day that would have been such a day if a market disruption had not occurred), excluding days on which trading may be ceased prior to the scheduled Exchange closing time and days on which the Exchange is open for a scheduled shortened period. The Index Administrator is ultimately responsible as to whether a certain day is a Trading Day.

Defined terms used in this announcement, but not defined herein, have the meaning assigned to them in the respective Index Guideline of the Affected Indices. The amended version of the Index Guideline will be available on the effective date.