Multi Commodity Exchange of India (MCX) and Thomson Reuters have agreed to launch a suite of co-branded commodity indices in India.

The indices will track the performance of commodity derivatives listed on MCX.

The indices will track the performance of commodity derivatives listed on MCX and will be created and maintained by Thomson Reuters.

MCX will have the exclusive rights to list the co-branded indices on its own platform for trading, while Thomson Reuters will sub-license the indices for the purposes of benchmarking or to underlie investment products such as ETFs.

Mrugank Paranjape, MD and CEO, MCX said: “We are upbeat about the new opportunities opening up in the commodity derivatives market and want to make the most of such opportunities to reach out to all stakeholders. Towards this end, we believe in lining up a very strong product pipeline to meet the aspirations of a burgeoning investor class in a rapidly expanding economy like India’s. The partnership with Thomson Reuters will go a long way in building such a product pipeline given their expertise. By creating the best-in-class commodity indices and governing them in accordance with established global standards, this partnership can set a benchmark in the world of index based investing in India’s commodity derivatives market.”

“Innovation is at the heart of our business and we are excited to work with MCX to offer market participants transparent, tradeable and compliant market-first indices” added Pradeep Lankapalli, managing director – South Asia, Thomson Reuters. “Thomson Reuters and MCX have a long standing relationship and we are excited to launch co-branded commodity indices in collaboration with them. This reaffirms our open platform strategy and will go a long way in helping us capture new opportunities that the financial industry presents.”