updated 10/28/2010 2:17:40 PM ET 2010-10-28T18:17:40

NEW YORK, Oct. 28, 2010 (GLOBE NEWSWIRE) -- Dow Jones Indexes, a leading global index provider and a CME Group company, today announced the launch of the Dow Jones U.S. Venture Capital Index, designed to measure changes in the market value of venture capital-financed companies in the United States. The new index has been licensed to Chicago Alternative Investment Partners, LLC to serve as a basis for financial products.

"This index tracks an asset class that has not been readily available before to the general public," said Michael A. Petronella, president, Dow Jones Indexes. "By publishing this index, we intend to shed light on this dynamic market and offer investors access to information in this important segment of U.S. economic growth," noted Petronella.

The methodology for the Dow Jones U.S. Venture Capital Index was developed by Dow Jones Indexes together with Sand Hill Econometrics. The values are based on a combination of values reported to Dow Jones VentureSource and value estimates based on Sand Hill's previously developed econometric methods for estimating company values when a recent market value is not readily available. Dow Jones VentureSource database is owned by Dow Jones & Company, Inc. 

The selection universe for the Dow Jones U.S. Venture Capital Index is based on companies in the Dow Jones VentureSource database, the world's most comprehensive venture capital database which tracks more than 14,000 private investment firms and more than 48,000 venture-backed companies in all industries and stages of development, worldwide. The index is based on data from Dow Jones VentureSource, about companies headquartered in the United States that have received equity funding from institutional venture capital funds. Excluded from the index are companies that receive funding solely from "angels," affluent private investors, or leveraged buyout funds.

"Even as we began building a venture index in 2001, I knew it was important to collaborate with a big-name index provider and to use a source with high quality data. Dow Jones Indexes and the Dow Jones VentureSource database were the first, obvious, and ultimate choices," said Susan Woodward, an economist and the founder of Sand Hill Econometrics. "It's a great time to launch. We look forward to coming out with additional indexes built from this data," added Woodward.

The Dow Jones Venture Capital Index was first published on March 31, 2010.  At the end of the first quarter of 2010, the index value was 1605.98, more than double the recent low of 762.43 at the end of February 2009, based on back-tested data. The back-tested data shows that the index has annualized performance of 16.43% since the end of 1991, before expenses and fees. 1

Component companies enter the index when they get a first round of venture funding. They are removed from the index when they are acquired; merge with another company; make an initial public offering (IPO), or go out of business. The index is market-value weighted and will be reviewed quarterly.

The Dow Jones U.S. Venture Capital Index is calculated in U.S. dollars and will be published quarterly, as funding events are usually reported at the end of calendar quarters, on a one-quarter delayed basis. Index values for intervening months also will be published quarterly.  Index values for April, May and June of this year will be published in mid-November. Calculation of the index began on March 31, 2010. Estimated monthly back-tested history is available back to December 31, 1991.1

As of March 31, 2010, there were more than 7,000 components in the Dow Jones U.S. Venture Capital Index, up 4.6% from December 31, 2009.

For more information on the Dow Jones U.S. Venture Capital Index, please visit www.djindexes.com .   

1The Dow Jones U.S. Venture Capital Index was first published on March 31, 2010. All estimated daily historical closing prices prior to that date are based on back-testing (i.e., calculations of how the index might have performed in the past if it had existed). Back tested performance information is purely hypothetical and is solely for informational purposes. Back tested performance does not represent actual performance, and past performance is not indicative of future results.

Journalists may e-mail questions regarding this press release to media@djindexes.com 

Note to Editors:

About Dow Jones Indexes

Dow Jones Indexes ( www.djindexes.com ) is a leading full-service index provider that develops, maintains and licenses indexes for use as benchmarks and as the basis of investment products. Best-known for the Dow Jones Industrial Average, Dow Jones Indexes offers more than 130,000 equity indexes as well as fixed-income and alternative indexes, including measures of hedge funds, commodities and real estate. Dow Jones Indexes employs clear, unbiased and systematic methodologies that are fully integrated within index families. Dow Jones Indexes is part of a joint venture company owned 90 percent by CME Group Inc. ( www.cmegroup.com ) and 10 percent by Dow Jones & Company, Inc. ( www.dowjones.com ), a News Corporation company (Nasdaq:NWS) (Nasdaq:NWSA) (ASX:NWS)  (ASX:NWSLV) ( www.newscorp.com ).

The Dow Jones Indexes logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=1289

About CME Group

As the world's leading and most diverse derivatives marketplace, CME Group ( www.cmegroup.com ) is where the world comes to manage risk. CME Group exchanges offer the widest range of global benchmark products across all major asset classes, including futures and options based on interest rates, equity indexes, foreign exchange, energy, agricultural commodities, metals, weather and real estate. CME Group brings buyers and sellers together through its CME Globex® electronic trading platform and its trading facilities in New York and Chicago. CME Group also operates CME Clearing, one of the largest central counterparty clearing services in the world, which provides clearing and settlement services for exchange-traded contracts, as well as for over-the-counter derivatives transactions through CME ClearPort®. These products and services ensure that businesses everywhere can substantially mitigate counterparty credit risk in both listed and over-the-counter derivatives markets.

The Globe logo, CME, Chicago Mercantile Exchange, CME Group, Globex, E-mini and CME ClearPort are trademarks of Chicago Mercantile Exchange Inc. CBOT and Chicago Board of Trade are trademarks of the Board of Trade of the City of Chicago. NYMEX and New York Mercantile Exchange are trademarks of New York Mercantile Exchange, Inc. COMEX is a trademark of Commodity Exchange, Inc. All other trademarks are the property of their respective owners. Further information about CME Group (Nasdaq: CME) and its products can be found at www.cmegroup.com.

"Dow Jones®", "Dow Jones Indexes" and "Dow Jones Venture Capital Indexes" are service marks of Dow Jones Trademark Holdings LLC ("Dow Jones"), and have been licensed for use by CME Group Index Services LLC ("CME Indexes"). Investment products based on the Dow Jones Venture Capital Indexes are not sponsored, endorsed, sold or promoted by Dow Jones, CME Indexes or their respective affiliates and none of Dow Jones, CME Indexes and their respective affiliates make any representation regarding the advisability of investing in such products. Inclusion of a company in any of the Dow Jones Venture Capital Indexes does not in any way reflect an opinion of Dow Jones, CME Indexes or any of their respective affiliates on the investment merits of such company. None of Dow Jones, CME Indexes or any of their respective affiliates is providing investment advice in connection with these indexes.

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