The AIC has removed index comparisons - what are they trying to hide?


#21

I was away when this was going on, but I think it is back now. Please correct me if I’m wrong!


#22

I am afraid you are wrong James! Those pesky index providers charge an arm and a leg if you so much as look at their indices. Where do you think you see them?


#23

Sorry, I’m looking at the sector performance, thought that was the benchmark. Guess I need to up my prescriptions! Luckily for me I use FE Analytics but individuals will find that expensive.


#24

There’s nowhere to get index info now for free. the AIC via @Annabel_Brodie-Smith_AIC explained the reason for it earlier in this forum @james_pigott (much further up the page), which was kind of her to come here and explain it at least.

She said it was down to cost. They’re ratcheting up the prices.

What I wonder though is as the index companies are making it so expensive that ordinary invests can’t check up the performance of their funds vs the index any longer, and as that makes the indexes a little bit redundant now, - why doesn’t someone else, like maybe fund management groups get together and start their own index provider?


#25

It is surprisingly difficult to get index data these days @casper @james_pigott @David_M Even if you go on to the FTSE Russell or MSCI websites because even they severely restrict the type of information the make available.

I am sure FE Analytics will be too expensive for me @james_pigott.

I like @casper 's idea about a new index company. Let’s start one here, come on WhichInvestmenttrust.com ! @Alex_Simpson


#26

Good luck with that! Benchmark regulation is getting tougher too.

I guess the management groups are experts in asset management rather than data aggregation and index provision. It is the normal model of out-sourcing your weaknesses and concentrating on your strengths.

These boys are trying to break the model http://corporate1.morningstar.com/morningstar-global-indexes/# but I am not sure how much traction they are currently getting in Europe especially. But it is something to keep an eye on if it changes the game.

Meantime only paid for software such as FE analytics or using the company factsheets seems to be the answer (although that doesn’t go back more than 5y generally as someone pointed out already). You can actually (if you try hard enough) get the raw values from the FTSE website and calculate it yourself but life is too short for that game!


#27

Seems to me that the index provider pricing systems are too expensive, the evidence being their disappearance from platforms.

In the capitalist system that should mean we see new competitors emerging, if not it would indicate there are too many barriers to entry and the regulators should get involved.

The Morningstar link @David_M posted is in its very early days but maybe something will come of that.


#28

Good thing about M* one if they get off the ground is the founder, major shareholder and former CEO said they would be free forever. There is no way he would go back on that. So its not like they will get the kids hooked then start charging. :wink: