Overview
Announcements

Methodology Change | All RAFI Equity Index Series | Effective Date 12 October 2023

Today, on the 27th of September 2023, Solactive announces the following changes to the guidelines of the indices listed in the table at the end of this announcement (the ‘Affected Indices’):

Background for guideline change

In order to maintain consistency across the Affected Indices, the existing eligibility provision will be changed, so that only spun-off companies that are to be traded on the same exchange as their distributing parent company will be added to the Affected Indices. Suppose a spun-off company is to be traded on a different exchange, in that case, the spun-off company will not be added to the Affected Index and the event will be treated as a cash distribution in accordance with the guideline of the Affected Indices. 

Changes to the Index Guidelines

Section 3.5.5 will be amended:

“3.5.5 Spin-Off

A spun-off company is eligible for inclusion if its security line is traded on the exchange of the parent company. The spun-off company is added, the market will adjust the price of the parent company such that the sum of the parent and spun-off company’s weight is approximately equal to the weight of the parent prior to spin-off. Based on the transaction terms on the ex-date, the shares of the spun-off company is calculated as follows:

Shares of Spun-off Company = Shares of Parent Company * Transaction Terms

The parent company and spun-off company will remain in the Index with unchanged calculation parameters.

The spun-off company will be added to the Index file with a price of zero prior to the ex-date. If the spun-off company does not start to trade on the ex-date, a theoretical price for the spun-off company will be implemented as a fixed price until it commences trading, from which time official prices will be used. The price of the spun-off company is calculated as follows:

Price of Spun-off Company = [(Close Price Parent Company Prior to Ex-Date) – (Open Price Parent Company on Ex-Date)] * Transaction Terms

If the first trading day of the spun-off company is unknown on the ordinary rebalancing date, the spun-off company will be removed from the Index with a price of zero.

In case the spun-off company is already an index constituent, the additional shares demerged from the parent company will be added to the spun-off company (share increase of the index member) on the ex-date.

If a spun-off company is not eligible (for example, the spun-off company is traded OTC or on an ineligible country’s exchange), that company’s shares are not added to the Index but instead, the weight of the spun-off company is redistributed as a special cash distribution on the ex-date.”

Guidelines to be changed

  • RAFI Multi-Factor Index Series
    • RAFI Dynamic Multi-Factor Indices
    • RAFI Multi-Factor Indices
    • RAFI Factor Indices
  • RAFI Fundamental Index Series
  • RAFI Fundamental Carbon Neutral Index Series
  • RAFI Fundamental Low Carbon Transition Index Series
  • RAFI Fundamental Reduced Carbon Pathway Index Series
  • RAFI ESG Index Series
  • RAFI Multi-Factor Climate Transition Index Series
  • RACWI Index Series

List of Affected Indices

RAFI Fundamental Global Index PR

.RAFIGLBP

DE000SLA3HZ9

RAFI Fundamental Developed Index PR

.RAFIDEVP

DE000SLA3H03

RAFI Fundamental Developed ex-US Index PR

.RAFIDXUP

DE000SLA3H11

RAFI Fundamental Emerging Markets Index PR

.RAFIEMP

DE000SLA3H37

RAFI Fundamental U.S. Index PR

.RAFIUSP

DE000SLA3H45

RAFI Fundamental U.S. Small Company Index PR

.RAFIUSSP

DE000SLA3H52

RAFI Fundamental Global Index TR

.RAFIGLBT

DE000SLA3JF7

RAFI Fundamental Developed Index TR

.RAFIDEVT

DE000SLA3JG5

RAFI Fundamental Developed ex-US Index TR

.RAFIDXUT

DE000SLA3JH3

RAFI Fundamental Emerging Markets Index TR

.RAFIEMT

DE000SLA3JK7

RAFI Fundamental U.S. Index TR

.RAFIUST

DE000SLA3JL5

RAFI Fundamental U.S. Small Company Index TR

.RAFIUSST

DE000SLA3JM3

RAFI Fundamental Developed Index NTR

.RAFIDEVN

DE000SLA3H86

RAFI Fundamental Developed ex-US Index NTR

.RAFIDXUN

DE000SLA3H94

RAFI Fundamental U.S. Index NTR

.RAFIUSN

DE000SLA3JC4

RAFI Fundamental U.S. Small Company Index NTR

.RAFIUSSN

DE000SLA3JD2

RAFI Fundamental Emerging Markets Index NTR

.RAFIEMN

DE000SLA3JB6

RAFI Fundamental Global Index NTR

.RAFIGLBN

DE000SLA3H78

RAFI Dynamic Multi-Factor U.S. Index PR

.RADMFUSP

DE000SLA2ZP4

RAFI Dynamic Multi-Factor Developed ex-U.S. Index PR

.RADMFXUP

DE000SLA2ZQ2

RAFI Dynamic Multi-Factor Emerging Markets Index PR

.RADMFEMP

DE000SLA2ZR0

RAFI Value Factor U.S. Index PR

.RADMFUV

DE000SLA2ZS8

RAFI Low Volatility Factor U.S. Index PR

.RADMFULV

DE000SLA2ZT6

RAFI Dynamic Multi-Factor U.S. Index NTR

.RADMFUNT

DE000SLA2Z77

RAFI Dynamic Multi-Factor Developed ex-U.S. Index NTR

.RADMFXNT

DE000SLA2Z85

RAFI Dynamic Multi-Factor Emerging Markets Index NTR

.RADMFENT

DE000SLA2Z93

RAFI Value Factor U.S. Index NTR

.RADMFUVN

DE000SLA20A2

RAFI Low Volatility Factor U.S. Index NTR

.RADMFULN

DE000SLA20B0

RAFI Dynamic Multi-Factor Developed ex-U.S. Index TR

.RADMFXUT

DE000SLA20S4

RAFI Dynamic Multi-Factor Emerging Markets Index TR

.RADMFEMT

DE000SLA20T2

RAFI Value Factor U.S. Index TR

.RADMFUVT

DE000SLA20U0

RAFI Low Volatility Factor U.S. Index TR

.RADMFULT

DE000SLA20V8

RAFI Dynamic Multi-Factor U.S. Index TR

.RADMFUST

DE000SLA20R6

RAFI Multi-Factor Emerging Markets Index PR

.RAQMFEMP

DE000SLA21F9

RAFI Multi-Factor Emerging Markets Index NTR

.RAQMFENT

DE000SLA21G7

RAFI Multi-Factor Emerging Markets Index TR

.RAQMFEMT

DE000SLA21H5

RAFI Multi-Factor U.S. Index PR

.RAQMFUSP

DE000SLA21J1

RAFI Multi-Factor U.S. Index NTR

.RAQMFUNT

DE000SLA21K9

RAFI Multi-Factor U.S. Index TR

.RAQMFUST

DE000SLA21L7

RAFI Multi-Factor Developed Index NTR

.RAQMFDLN

DE000SLA3G87

RAFI Multi-Factor Developed Index PR

.RAQMFDLP

DE000SLA3GV0

RAFI Multi-Factor Developed Index TR

.RAQMFDLT

DE000SLA3HP0

RAFI Fundamental Global All Company Index PR

.RAFIGAP

DUMMYISIN127

RAFI Fundamental Global All Company Index NTR

.RAFIGAN

DUMMYISIN128

RAFI Fundamental Global All Company Index GTR

.RAFIGAT

DUMMYISIN129

RAFI ESG Developed Index PR

.RAESGDVP

DE000SLA5NL2

RAFI ESG Developed Index NTR

.RAESGDVN

DE000SLA5NM0

RAFI ESG Developed Index GTR

.RAESGDVT

DE000SLA5NN8

RAFI ESG US Index PR

.RAESGUSP

DE000SLA5NP3

RAFI ESG US Index NTR

.RAESGUSN

DE000SLA5NQ1

RAFI ESG US Index GTR

.RAESGUST

DE000SLA5NS7

RAFI Multi-Factor Developed Index NTR (GBP)

.RAMDNGBP

DE000SLA5JY3

RAFI Multi-Factor Developed ex Low Volatility PR

.RAMDXLVP

DE000SLA7109

RAFI Multi-Factor Developed ex Low Volatility NTR

.RAMDXLVN

DE000SLA7117

RAFI Multi-Factor Developed ex Low Volatility GTR

.RAMDXLVT

DE000SLA7125

RAFI Value Factor Developed Eurozone Carbon Neutral PR

.RAVEFFCP

DE000SLA7133

RAFI Value Factor Developed Eurozone Carbon Neutral NTR

.RAVEFFCN

DE000SLA7141

RAFI Value Factor Developed Eurozone Carbon Neutral GTR

.RAVEFFCT

DE000SLA7158

RAFI ESG Developed Index NTR (EUR)

.RAESGDNE

DE000SLA8J06

RAFI Multi-Factor Developed EUR Index NTR

.RAMDNEUR

DE000SLA98K7

RAFI Multi-Factor Developed EUR Index PR

.RAMDPEUR

DE000SL0AK67

RAFI ESG Developed PR (EUR)

.RAESGDPE

DE000SL0AK75

RAFI Multi-Factor Climate Transition Developed NTR Index

.RAMFCTDN

DE000SL0BWJ7

RAFI Multi-Factor Climate Transition Developed PR Index

.RAMFCTDP

DE000SL0BWH1

RAFI Multi-Factor Climate Transition Developed GTR Index

.RAMFCTDT

DE000SL0BWK5

RAFI Dynamic Multi-Factor Developed ex US Americas NTR Index

.RADMXNAN

DE000SL0BWW0

RAFI Dynamic Multi-Factor Developed ex US Americas PR Index

.RADMXNAP

DE000SL0BWU4

RAFI Dynamic Multi-Factor Developed ex US Americas GTR Index

.RADMXNAT

DE000SL0BWV2

RAFI Dynamic Multi-Factor Developed ex US APAC NTR Index

.RADMXAPN

DE000SL0BW21

RAFI Dynamic Multi-Factor Developed ex US APAC PR Index

.RADMXAPP

DE000SL0BW05

RAFI Dynamic Multi-Factor Developed ex US APAC GTR Index

.RADMXAPT

DE000SL0BW13

RAFI Dynamic Multi-Factor Emerging Markets Americas NTR Index

.RADMELAN

DE000SL0BW54

RAFI Dynamic Multi-Factor Emerging Markets Americas PR Index

.RADMELAP

DE000SL0BW39

RAFI Dynamic Multi-Factor Emerging Markets Americas GTR Index

.RADMELAT

DE000SL0BW47

RAFI Dynamic Multi-Factor Developed ex US Europe and Israel NTR Index

.RADMXEIN

DE000SL0BWZ3

RAFI Dynamic Multi-Factor Developed ex US Europe and Israel PR Index

.RADMXEIP

DE000SL0BWX8

RAFI Dynamic Multi-Factor Developed ex US Europe and Israel GTR Index

.RADMXEIT

DE000SL0BWY6

RAFI Dynamic Multi-Factor Emerging Markets APAC NTR Index

.RADMEAPN

DE000SL0BXB2

RAFI Dynamic Multi-Factor Emerging Markets APAC PR Index

.RADMEAPP

DE000SL0BW96

RAFI Dynamic Multi-Factor Emerging Markets APAC GTR Index

.RADMEAPT

DE000SL0BXA4

RAFI Fundamental Developed EUR Index NTR

.RAFIDVEN

DE000SL0BXM9

RAFI Fundamental Developed EUR Index PR

.RAFIDVEP

DE000SL0BXL1

RAFI Fundamental Emerging Markets EUR Index NTR

.RAFIEMEN

DE000SL0C5F9

RAFI Fundamental Emerging Markets EUR Index PR

.RAFIEMEP

DE000SL0C5E2

RAFI Multi-Factor Climate Transition Developed EUR Index NTR

.RMFCTDEN

DE000SL0C3X7

RAFI Multi-Factor Climate Transition Developed EUR Index PR

.RMFCTDEP

DE000SL0C3V1

RAFI Multi-Factor Climate Transition Developed EUR Index GTR

.RMFCTDET

DE000SL0C3W9

RAFI Multi-Factor Climate Transition Developed USD Index NTR

.RMFCTDUN

DE000SL0C309

RAFI Multi-Factor Climate Transition Developed USD Index PR

.RMFCTDUP

DE000SL0C3Y5

RAFI Multi-Factor Climate Transition Developed USD Index GTR

.RMFCTDUT

DE000SL0C3Z2

RAFI Fundamental Developed Custom Reduced Carbon Pathway 3.0% NTR Index

.RCPDEVCN

DE000SL0D2F5

RAFI Fundamental Developed Custom Reduced Carbon Pathway 3.0% PR Index

.RCPDEVCP

DE000SL0D2E8

RAFI Fundamental Developed Custom Reduced Carbon Pathway 3.0% TR Index

.RCPDEVCT

DE000SL0D2G3

RAFI Fundamental Emerging Custom Reduced Carbon Pathway 3.0% NTR Index

.RCPEMCN

DE000SL0D2J7

RAFI Fundamental Emerging Custom Reduced Carbon Pathway 3.0% PR Index

.RCPEMCP

DE000SL0D2H1

RAFI Fundamental Emerging Custom Reduced Carbon Pathway 3.0% TR Index

.RCPEMCT

DE000SL0D2K5

RAFI Fundamental Global Reduced Carbon Pathway 3.5% NTR Index

.RCPGLBN

DE000SL0D2M1

RAFI Fundamental Global Reduced Carbon Pathway 3.5% PR Index

.RCPGLBP

DE000SL0D2L3

RAFI Fundamental Global Reduced Carbon Pathway 3.5% TR Index

.RCPGLBT

DE000SL0D2N9

RAFI Quality Factor US PR Index

.RADMFUQ

DE000SLA2ZU4

RAFI Quality Factor US NTR Index

.RADMFUQN

DE000SLA20C8

RAFI Quality Factor US TR Index

.RADMFUQT

DE000SLA20W6

RAFI Fundamental Emerging Markets Carbon Neutral Exclusion Screened NTR Index

.RCNXEMN

DE000SL0D653

RAFI Fundamental Emerging Markets Carbon Neutral Exclusion Screened PR Index

.RCNXEMP

DE000SL0D646

RAFI Fundamental Emerging Markets Carbon Neutral Exclusion Screened TR Index

.RCNXEMT

DE000SL0D661

RAFI Fundamental Global Carbon Neutral NTR Index

.RCNGLN

DE000SL0D7E7

RAFI Fundamental Global Carbon Neutral PR Index

.RCNGLP

DE000SL0D7D9

RAFI Fundamental Global Carbon Neutral TR Index

.RCNGLT

DE000SL0D7F4

RAFI Fundamental Global Low Carbon Transition NTR Index

.RLCTGLN

DE000SL0D7L2

RAFI Fundamental Global Low Carbon Transition PR Index

.RLCTGLP

DE000SL0D7K4

RAFI Fundamental Global Low Carbon Transition TR Index

.RLCTGLT

DE000SL0D7M0

RAFI Dynamic Multi-Factor Emerging Markets Europe & Middle East NTR Index

.RADMEMEN

DE000SL0EYB4

RAFI Dynamic Multi-Factor Emerging Markets Europe & Middle East PR Index

.RADMEMEP

DE000SL0EYC2

RAFI Dynamic Multi-Factor Emerging Markets Europe & Middle East GTR Index

.RADMEMET

DE000SL0EYA6

RAFI Dynamic Multi-Factor Emerging Markets South Africa NTR Index

.RADMESAN

DE000SL0EYE8

RAFI Dynamic Multi-Factor Emerging Markets South Africa PR Index

.RADMESAP

DE000SL0EYF5

RAFI Dynamic Multi-Factor Emerging Markets South Africa GTR Index

.RADMESAT

DE000SL0EYD0

RAFI Multi-Factor Emerging Markets ex-China Exclusion Screened NTR Index

.RQMFEMXN

DE000SL0GBX1

RAFI Multi-Factor Emerging Markets ex-China Exclusion Screened PR Index

.RQMFEMXP

DE000SL0GBW3

RAFI Multi-Factor Emerging Markets ex-China Exclusion Screened TR Index

.RQMFEMXT

DE000SL0GBY9

RACWI Global NTR Index

.RACWIGLN

DE000SL0D7C1

RACWI Global PR Index

.RACWIGLP

DE000SL0D7B3

RACWI Global TR Index

.RACWIGLT

DE000SL0D7A5

RAFI Multi-Factor Developed GBP Hedged Index Net Return

.RAMDGBPH

DE000SLA56E8

RAFI ESG Developed Index NTR EUR Hedged

.RAESGDVH

DE000SLA8U68

RAFI Multi-Factor Climate Transition Developed GBP Hedged Index NTR

.RMFCTDGH

DE000SL0C2T7

RAFI Multi-Factor Climate Transition Developed GBP Hedged Index PR

.RMFCTDGP

DE000SL0C325

RAFI Multi-Factor Climate Transition Developed GBP Hedged Index GTR

.RMFCTDGT

DE000SL0C317

RAFI Fundamental Global Reduced Carbon Pathway 3.5% GBP Hedged NTR Index

.RCPGLGHN

DE000SL0D2P4

RAFI Fundamental Global Low Carbon Transition PR Index GBP Hedged

.RLCTGLHP

DE000SL0D7G2

RAFI Fundamental Global Low Carbon Transition NTR Index GBP Hedged

.RLCTGLHN

DE000SL0D7H0

RAFI Fundamental Global Low Carbon Transition TR Index GBP Hedged

.RLCTGLHT

DE000SL0D7J6

RAFI Multi-Factor Developed EUR Hedged Index NTR

.RAMDNEUH

DE000SL0EAB4

RAFI Fundamental Global Low Carbon Transition Index GBP Dev CCY Hedged

.RLCTGXHN

RLCTGXHN0000

RAFI Fundamental Global Low Carbon Transition Index GBP Dev Currency Hedged

.RLCTGDHN

DE000SL0G359