Press Releases — April 23, 2021

Results of Annual Emerging And Developed Markets Classification Review

Zug (April 23, 2021) – Qontigo today announced the results of the annual Country Classification review for STOXX indices. 

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As of September 20, 2021, out of the 64 countries in the STOXX index universe, 25 will be classified as developed markets, and 21 will be classified as emerging markets. No countries in the STOXX index universe will undergo a change in classification. A full list of countries including their classification can be found under the dedicated country classification section.

The preliminary results indicated Luxembourg and New Zealand as fluctuating between classification levels. These countries will be captured in the Watch List and maintain their existing classification levels, following a STOXX governance decision and in line with section 4.3 of the STOXX Index Methodology Guide.

Argentina and Czech Republic will be removed from the Watch List as the preliminary results indicated that these countries should maintain their existing classification levels, following a STOXX governance decision and in line with section 4.3 of the STOXX Index Methodology Guide.

The STOXX market classification model relies on a completely rules-based and transparent methodology and is the first such concept to exclude any subjective decisions from the process. The six criteria for the classification of a country as a developed market include macroeconomic data, market cap, market liquidity, free currency convertibility on onshore and offshore markets, restrictions on capital flows, and governance based on political stability, control of corruption and regulatory quality. The data source for the diverse criteria are highly renowned and independent global organizations (i.e. World Bank, Thomson Reuters and PricewaterhouseCoopers).