Index Posting System
As passively-managed investments account for the vast majority of GPIF's portfolio, the benchmarks that we select heavily influence our fund performance. Meanwhile, the demand for a wide variety of new types of indexes has increased dramatically in recent years as more and more investors manage money based on smart-beta, ESG, and other diverse themes.
With this in mind, GPIF has launched the "Index Posting System" (IPS) - a new framework for collecting index information on a continuous basis - in order to efficiently gather the latest new index information for the purpose of enhancing our overall fund management.
1. Summary of Index Posting System
The Index Posting System is a framework used by GPIF to collect information on a wide variety of equity and bond indexes. There are no constraints on index themes accepted; posters may submit information on market-cap, ESG, smart beta, or any other indexes. However, posters may only post up to 10 equity indexes and 10 bond indexes (i.e. a total of 20 indexes).
*Please submit information for either domestic or foreign indexes, or one of both (i.e. submissions for global indexes that include both domestic and foreign securities are not accepted).
*Multi-asset and alternative asset indexes are not currently accepted.
As submitted index ideas may eventually be used for managing GPIF assets, we require IPS participants to fulfill all three of the below requirements. Two or more entities may jointly post information, provided that together they meet the three requirements.
- Posters must:
- ① Have a track record of index development and had actual invested assets linked to developed indexes.
- ② Use a sufficiently advanced ratings/analysis methodology in index development (e.g. ESG rating methodology in the case of ESG indexes).
- ③ Have an organizational structure in place to enable continuous index rebalancing and distribution from a neutral standpoint.
3. Index Information Requested and Expectations of Index Providers
- ① Index composition rules (methodology) should be available for publication at some point.
- ② Indexes should have a fairly large investment capacity.
- ③ The process for constituent selection and weighting should be objective, unbiased and transparent.
- ④ Posters should have an organizational framework for appropriately communicating with GPIF and our stakeholders.
4. Index Themes of Particular Interest
As described in "1. Summary of Index Posting System" GPIF uses the Index Posting System to collect information on a wide variety of equity and bond indexes, but at the present time,we are particularly interested in receiving information on indexes in the following areas;
- ① ESG Tilt Index for Domestic Equities
- ② Smart Beta Index for Foreign and Domestic Bonds
(As of end of April, 2021)
5. Posting (Registration) Process
Participants may post information at any time. There is no deadline for submission.
（1）Posting (Registration) process
Users must create an ID in order to post information. Please download the "ID Creation Application" below, fill in the required information, and send the file to the dedicated e-mail address below with the subject "Posting ID Creation [company name]". After confirming that the there is no incorrect and/or missing information, GPIF will send an e-mail confirming ID creation to the e-mail address indicated by the poster. This marks the completion of the ID creation process.
Index Posting address: firstname.lastname@example.org
Please see questions (2-1), (3-8), (3-9), (6-1) and (6-2) in the Index Posting System FAQ for information on required e-mail title formats.
Emails sent from free email accounts may be blocked for security reasons.
To post (register) index information, please download the "Index Posting Application" and "Posting Format" below, fill in the required information, and upload the files to the dedicated cloud storage site below.
- Storage site: https://www.index-posting.jp/
The posting is complete once the poster uploads the files to the dedicated cloud storage service.
（2）Points of consideration when posting
- ① GPIF may request additional explanation and/or supplementary data required for performance verification or other purposes.
- ② GPIF may conduct performance verification in collaboration with third parties that have signed a non-disclosure agreement with GPIF.
- ③ If a submitted index is adopted as a benchmark, the poster will be required to take responsibility for development and continuous management of expenses related to calculation, publication, etc.
- ④ Expenses related to preparation of submission documents, etc. will be the responsibility of the poster.
- ⑤ Posters are asked to keep their participation in the posting process confidential until a time designated by GPIF.
6. Updating/Removing Registered Information
In general, please update index performance on a quarterly basis after posting (i.e. the end of March, June, September and December). There is no need for the poster to contact GPIF after updating the index performance. Other registered information should be updated whenever there is a change as indicated in the application form. When changing information in the Index Posting Application Form, please promptly send an e-mail to the Index Posting address using the required e-mail title formats described in the Index Posting System FAQ to update the data within the cloud storage site.
Should the registered information indicated in (1) above fail to be updated for 6 months or more and the registered contact point be unreachable, the posting will be removed from the system.
GPIF may request a meeting with the poster as required. We may ask the poster to submit additional information at such a meeting.