Euronext - 2020 Universal Registration Document
Presentation of the Group 1 Description of the Business
regardless of listing venue. Euronext offers a fully customisable index service which includes index calculation across equities, commodities and currencies, five days a week, with two end-of-day runs reflecting market close in Europe, Asia and the Americas. Many of Euronext’s indices are licensed as the basis for ETPs (including ETFs) and structured products. On April 17 th 2019, Euronext was registered by ESMA as Benchmark Administrators under the new EU Benchmark Regulation (BMR). This compliance with the provisions of the Benchmark Regulation confirms the quality of Euronext’s governance and control principles and rules, today acknowledged by key European regulators: the AFM in the Netherlands, AMF in France, CMVM in Portugal, FSMA in Belgium and CBI in Ireland. Over the past years, Euronext has become a leader in indices for structured products and reinforced its Blue-Chip Index franchise by: n developing custom solutions for structured products issuers, adapted to investors and banks needs; n strengthening blue-chip indices franchise through increased transparency, industrialization, and Governance; n positioning Euronext as a leading ESG index provider with open architecture platform, onboarding leading ESG data providers and thought leaders in climate change assessment; n improving drastically time to market for index creation through industrialization. As a result, Euronext index business: n maintained a strong revenue growth in 2020 while further diversifying its business model and source of revenues; n built global commercial relationship and is now used by the majority of the world’s top financial institutions. As a stock exchange committed to sustainability, Euronext is now well positioned to benefit from the increased integration of factor and ESG criteria into the investment process and will continue to extend its ESG index offering thanks to its partners expertise, V.E. (Vigeo Eiris), CDP, Carbone 4, ISS-ESG and Gresb B.V.: n there are over 300 outstanding listed structured products linked to Euronext ESG indices. The majority of those (221 products with sales of more than €4.5 billion) are provided to investors in the French market;
n in 2020, more than 225 structured products linked to Euronext ESG indices were launched. The top 5 Euronext ESG indices by sales volume were (1) :
Sales Volume 2020 (€m)
Underlying Index
Euronext Climate Objective 50 Euro EW Dec 5%
989
Euronext Eurozone ESG Leaders 40 EW Dec 5%
265
EuronextWater and Ocean Europe 40 EW Dec 5%
256
Euronext CDP Environment France EW dec 5%
129
Euronext Euro 50 ESG EWDec 50 Points
106
n in 2020 the methodology of the Low Carbon 100 Europe PAB index evolved to be in line with the very advanced EU label, the Paris Aligned Benchmark (PAB). In November 2020, 70% of the AUM of all the ETFs tracking EU PAB indices was in the ETF tracking the Low Carbon 100 Europe PAB index. As of 31 December 2020, there were over 11,500 Euronext Traded Products (ETPs) linked to Euronext indices listed on the Company’s market. This is a +10.7% increase compared to 2019 and an all- time record.
ETP PRODUCTS ON EURONEXT INDICES LISTED ON EURONEXT
12000
10000
8000
6000
4000
2000
0
2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020
END OF YEAR RECORD FOR ETPS ON THE AEX® TO 4,433
ETPS LINKED TO AEX LISTED ON EURONEXT
Year
2010 2011 2012 2013 2014 2015 2016 2017 2018 2019
2020 4,433
Nr. of Products
579
884
823
977
1,369
2,158
1,748
2,816
2,907
3,303
Exchange traded funds (ETFs) linked to Euronext indices increased +6.8% to €7.5 billion in Assets Under Management (AUM) at the end of 2020.
(1) etfbook.com data, figures based on external third-party data.
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2020 UNIVERSAL REGISTRATION DOCUMENT
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