What's in an index

Index selection has never been more complex, however, the key for providers of guaranteed life and pension products is to first evaluate why the index is required. Anuszka Mogford reports

The demand from pension funds and insurance companies for products that combine guarantees with market performance and exposure to new asset classes has evolved along with a dramatic increase in the amount and type of indices used to track these asset classes.

However, with the FTSE Group alone producing over 100,000 individual indices, this ever-expanding world can be a complex minefield to navigate. How do pension funds, insurance companies and, indeed, investors select the right index for a