The NMX index series are designed to reflect the risk and return characteristics of the global infrastructure industry. It is the first index series that concentrates on basic infrastructure facilities. The selection process that the risk and return characteristics are not diluted by so called "utilities". The index selection and construction methodology ensures that the NMX index series are effective research tools and performance benchmarks for the infrastructure asset class.
LPX Group covers around 80+ listed infrastructure companies around the globe which are eligible index constituents.
These infrastructure companies are characterized by a natural monopoly and exhibit the following characteristics which are typical for infrastructure investments:
- Attractive risk and return characteristics
- Long term stable cash flows (revenues) through asset backing and protected market position
- Highly creditworthy counterparties
- High potential diversification benefits
- Low exposure to changes in the business climate
- Linkage to long-term GDP growth
For detailed information please refer to the NMX site.