ETFs

Regulation reinforces dominance of index giants as revenue surges

The Libor scandal and its fallout has worked out well for the likes of S&P Dow Jones, MSCI and FTSE Russell

Indexes conquer the world: A public bridge in Shanghai, China, updates citygoers on movements in Paris's CAC40 index and London's FTSE, published by index provider FTSE Russell
Indexes conquer the world: A public bridge in Shanghai, China, updates citygoers on movements in Paris's CAC40 index and London's FTSE, published by index provider FTSE Russell Photo: Getty Images

Regulation is strengthening the hand of the largest index providers after a year in which revenue across the business soared by about a fifth in part due to the continued popularity of passive investment products among investors.

Revenue generated by index providers around the world grew by 18.8% in 2017 to $2.8bn, according to Burton-Taylor Consulting International, which is owned by interdealer broker TP Icap.

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