Euronext and Institut de l’Épargne Immobilière et Foncière (IEIF)1 have joined forces to produce a new index with a view to raising the profile of the listed real-estate sector. Due for launch on 5 April, the Euronext IEIF 'SIIC France' index is based on listed real-estate investment companies that have opted for a new tax regime known as SIIC2.
Introduced in January 2003, the SIIC regime has boosted interest in the real-estate
segment of the stock market. The “SIIC France” index will comprise all listed realestate
investment companies having elected for SIIC treatment, making it possible to
closely monitor their performance. It will also help investors, fund managers and
issuers to measure performance and make comparisons with other companies in the
Designed by IEIF, the “SIIC France” index is consistent with Euronext’s index
methodology. Euronext will be responsible for calculating and disseminating the
index through its dedicated subsidiary, Euronext Indices BV. Meanwhile IEIF´s
Scientific Committee3 will manage the index on a daily basis, ensuring that the
component stocks continue to represent the specific nature of the real-estate sector
in a reliable manner. Two versions of the index will be calculated, a price version and
a total return version (net and gross).
The “SIIC France” index joins Euronext´s existing range of European and global realestate indices, developed in conjunction with the European Public Real Estate
Association (EPRA) and the National Association of Real Estate Investment Trusts
Commenting on the new index, Mark Adema, director of Euronext Indices BV, said:
'This important step is one of several initiatives taken by Euronext to support listed
real-estate companies. Market participants now have a tool to monitor, analyse,
manage and take advantage of opportunities provided by the SIIC regime'.
Ms Maryse Aulagnon, a director of the French Federation of Real-Estate Companies
(FSIF) and a member of IEIF´s Scientific Committee added: 'This tool will underscore
the interest generated by the SIIC regime, particularly among investors outside
France. It is the first step towards a system for comparing the performance of listed
tax-advantage real-estate vehicles throughout Europe'.