SINGAPORE - Index provider S&P Dow Jones Indices on Tuesday (Dec 11) launched the S&P GSCI Iron Ore and the S&P GSCI Industrial Metals & Iron Ore Equal Weight indices, an expansion of the single and sector commodity series of indices based on the benchmark S&P GSCI.

The two new indices, which S&P says are the first of their kind in the market, will provide investors with "reliable and publicly available investment performance benchmarks for either iron ore-only or as part of a selection of other industrial metals including aluminium, copper, lead, nickel and zinc commodity markets".

The S&P GSCI is a benchmark index for investment in the commodity markets and also serves as a measure of commodity performance over a period of time.

The S&P GSCI Industrial Metals & Iron Ore Equal Weight is equally weighted on a quarterly basis.

Said S&P Dow Jones Indices' managing director and global head of product management Alka Banerjee: "The S&P GSCI Iron Ore, based on the Singapore Exchange iron ore contract, is the only investable and liquid index in the market that offers global investors exposure to iron ore futures, the second most traded commodity after crude oil, but up until now was previously limited to over-the-counter trading.

"These indices provide enhanced diversification within the framework of the base metals."