MSR European 50 – Exposure, Dollar Weighted Index
The MSR European 50 Dollar Weighted Exposure Index shows the total return of being long one EURO STOXX 50 futures contract (the “current” contract, which is the most liquid) through time. This is “dollar weighted” because an investor can simply divide the number of dollars they want to invest by the current dollar value of the EURO STOXX 50 contract and own that number of contracts for perpetuity. The “cash equivalent” version of this index will track the total return of the EURO STOXX 50 cash market index including dividends (which are by definition reinvested into the EURO STOXX 50 automatically when you invest via futures). EURO STOXX 50 futures contracts are denominated in Euros, but MSR converts the daily returns to dollar based returns for this index.