Overview
Announcements

Methodology Change | Solactive Mongolia Performance Index | Effective Date 12/03/2021

Today, on the 12/03/2021, Solactive announces the following change to the methodology of the following index (the ‘Affected Index’):

NAME

RIC

ISIN

Solactive Mongolia Performance Index

.MOLEX

DE000SLA0MX0

Rationale for Methodology Change

Solactive has determined that the current Index Methodology regarding the weighting scheme is no more applicable. The weighting scheme of the Affected Index sets a cap for any Index Constituents at fifteen percent (15%). Since the current number of Index Constituents has eased to only four (4) Index Constituents and since a change in trend is not expected in the near future, the weight capping mechanism of the current Index Methodology is no more appropriate. The Index Methodology needs to be changed in order to underpin the rebalancing of the Affected Index with an adequate and more robust weighting approach.

Changes to the Index Guideline

The following Methodology change will be implemented in the following points of the Index Guideline (ordered in accordance with the numbering of the affected sections):

Section 1.5: Weighting

Due to the switch to the current standard format of the Index Guideline, section “1.5 Weighting” will be included in section 2 and to be found under section “2.3. WEIGHTING OF THE INDEX COMPONENTS”.

From (old version in section 1.5):

“On each Adjustment Day each Index Component of the Solactive Mongolia Index (MOLEX) is weighted proportionally according to its Market Capitalization. The Percentage Weight of each Index Components is capped at 15 percent on the Adjustment Days. The excess weight is allocated proportionally to all Index Components whose Percentage Weight is not capped.”

 

To (new version in section 2.3.):

“INDEX COMPONENTS are weighted equally on the REBALANCE 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.