MTS Germany Government Index
What is it?
The EuroMTS EMTXc Germany Index is a set of total return indices representing euro-denominated German Pfandbriefe covered bonds issued by German mortgage banks and listed on the MTS platform, which is the principal trading system for Eurozone debt securities. Eligible bonds must have at least one year to maturity, and each issuer is represented by all their bonds meeting the eligibility criteria. Sub-indices by maturity range include EuroMTS EMTXc Germany 3-5 years and 5-7 years. Additional sub-indices separate Oeffentliche of all maturities from Hypothekenpfandbriefe issues of all maturities.
Why do I care?
The Euro MTS Covered Bond Index measures the performance of Euro-denominated German covered bonds on a total return basis. Pfandbriefe represent the largest sector of the German private debt market and are considered the safest form of privately issued bonds. Investors may choose to us use this index as a benchmark against which to measure the performance of their own Euro-denominated bond holdings.