Update of methodology for Nasdaq Iceland‘s fixed duration bond indexes


Nasdaq Iceland* (the Exchange) has updated the methodology for its fixed duration bond indexes. The change affects the 1 year and 3 month non-indexed bond indexes. From April 2015 the Exchange will start using price information for Treasury bills from the Government Debt Management‘s auctions in addition to prices from the secondary market. This is deemed necessary because insufficient price information is available for Treasury bills on the secondary market for use in the indexes. Auction prices are only used for Treasury bills and thus all price information for other bonds comes solely from the secondary market.

The updated methodology can be found attached and also on our website here: http://www.nasdaqomx.com/transactions/trading/fixedincome/fixedincome/iceland

 

* Nasdaq Iceland is the brand name for the regulated market of NASDAQ OMX Iceland hf.


Attachments

Nasdaq Bond Indices 01 April 2015.pdf