Cairo - Mubasher: The Egyptian Exchange (EGX) will launch a new index for listed treasury bonds (T-bonds) after the methodology of the index is approved by the EGX’s Index Committee. 

The new index will allow the introduction of investment products that track these indices and boost the diversification of the available investment products in line with the best international practices, the EGX said in a statement on Monday. 

The indices will include bonds with the highest liquidity with each issuance weighted based on its market capitalisation.

The T-bonds indices consist of a general index to be launched on Tuesday and four sub-indices with varying tenors to be launched in the coming period. The sub-indices will allow investors to compare the performance of several T-bonds with similar tenors.  

The 1,000-point T-bonds index, which has a base date of 3 January 2021, will allow the introduction of new financial products such as index-tracking bond funds.