Merrill launches Gulf Investible Index Certificate

Merrill Lynch has launched an open-ended publicly-registered and exchange-listed Gulf Investible Index Certificate, offering investors the chance to invest in companies in the Gulf region chosen on the basis of Merrill research with daily liquidity. The companies are chosen on the basis of the largest and most liquid stocks listed in Abu Dhabi, Bahrain, Dubai, Kuwait, Oman and Qatar, with the dynamic research-based index composition reviewed twice a year.

The index comprises 20 stocks and composition will be weighted by market cap with a minimum allocation of 15%, and reviewed on a semi-annual basis in May and November each year. On each review date, a committee of Merrill research analysts determines an eligible universe of stocks for the index according to criteria including market cap, trading volume and foreign ownership. If the selection universe were to consist of less than 20 stocks, all stocks are selected as index constituents.

The