Dow Jones Indexes Launches Four Bond Indexes for Costa Rica

NEW YORK (June 8, 2011) — Dow Jones Indexes, a leading global index provider, LVA Indices (LVA), the leading fixed income index and pricing provider in Chile, and Proveedor Integral de Precios (PiP), a leading index and pricing provider in Latin America, today announced the launch of four bond indexes for Costa Rica as part of the Dow Jones LATixx index family. These indexes are designed to measure the performance of the Costa Rican government’s debt instruments in local currency and U.S. dollars.

The Dow Jones LATixx Indexes are designed to serve as a basis for investment products such as exchange-traded funds, structured products, futures and options.

“As interest in Costa Rica’s growing economy increases, these indexes will offer investors an opportunity to measure the government’s bond market, both in local currency as well as in U.S. dollars,” said Michael A. Petronella, President, Dow Jones Indexes. “These are the first indexes in the series that measures Costa Rica, specifically.”

“These indexes will offer investors from all over the world an opportunity to observe the emerging economy of Costa Rica in a transparent and understandable way,” said Eduardo Rodriguez, CEO, PiP at Centro America.

“The new indexes will provide local investment managers with the ability to benchmark the performance of their portfolios against Costa Rican government bonds, a critical factor in measuring and analyzing results,” said Gregorio Gonzalez, CEO, LVA Indices.

The new indexes are:
- the Dow Jones LATixx Costa Rica Government Colones Fixed Rate Index, which includes all standardized fixed long-term-rate debt instruments, issued in the local market by Costa
Rican public financial institutions (Finance Ministry, Central Bank) in local currency, with a maturity term of more than 360 days;
- the Dow Jones LATixx Costa Rica Government Colones Variable Rate Index, which Includes all standardized variable long-term-rate debt instruments, issued in the local market by
Costa Rican public financial institutions (Finance Ministry, Central Bank) in local currency, with a maturity term of more than 360 days;
- the Dow Jones LATixx Costa Rica Government U.S. Dollar Fixed Rate Index, which includes all standardized fixed long-term-rate debt instruments, issued in the local market by Costa
Rican public financial institutions (Finance Ministry, Central Bank) in U.S. dollars, with a maturity term of more than 360 days; and
- the Dow Jones LATixx Costa Rica Government U.S. Dollar Variable Rate Index, which includes all standardized variable long-term-rate debt instruments, issued in the local by Costa
Rican public financial institutions (Finance Ministry, Central Bank) in U.S. dollars, with a maturity term of more than 360 days.

The new indexes are liquidity weighted, with weights rebalanced monthly.

The initial publication date of the new Costa Rica indexes is June 6, 2011. Back-tested historical data is available back to September 1, 2009, with the base date of August 31, 2009, and an initial value set to 1000.0.

As of May 31, 2011:
- the Dow Jones LATixx Costa Rica Government Colones Fixed Rate Index had a year-to-date performance of 5.03%;
- the Dow Jones LATixx Costa Rica Government Colones Variable Rate Index had a year-to-date performance of 3.93%;
- the Dow Jones LATixx Costa Rica Government U.S. Dollar Fixed Rate Index had a year-to-date performance of 2.14%; and
- the Dow Jones LATixx Costa Rica Government U.S. Dollar Variable Rate Index had a year-to-date performance of 1.76%.

For more information on the Dow Jones LATixx Indexes, please visit http://www.djindexes.com.

# # #

Journalists may e-mail questions regarding this press release or contact Dow Jones Indexes press office:

New York: +1-212-597-5720
London: +44-20-3379-3804

About Dow Jones Indexes

Dow Jones Indexes 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. and 10 percent by Dow Jones & Company, Inc., a News Corporation company (NASDAQ: NWS, NWSA; ASX: NWS, NWSLV).

"Dow Jones®," "Dow Jones Indexes," and all other index names listed above 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").

About LVA Indices

LVA Indices is a company that specializes in local Latin American fixed income, with offices in Chile (headquarters) and Peru. Initially created as a full-service index provider, LVA has extended its product offering to fair value pricing for local fixed income securities and derivatives, mutual fund performance measurement, consulting and custom financial software solutions. The LVA Chile Fixed Income indexes include over 250 indexes covering the full range of local instruments issued in Chile, and have become the undisputed standard in this market. LVA's pricing service uses proprietary models and market data to value over 50,000 local instruments on a daily basis, and is used by major local and international financial groups to price their local portfolios. LVA Indices has provided consulting to major institutional, governmental and supra-national institutions in Chile and the rest of the region, and several names in the local financial industry rely on software developed by LVA to control their investment policies and risk levels.

LVA Indices is an independent company jointly owned by LarrainVial and Buena Vista Capital.

About PiP

PiP was the first price provider authorized in Mexico. It counts with nine years of experience serving to institutional clients in Mexico and in other countries like USA, Chile, Spain, Netherlands, among others. Current clients base include mutual funds, pension funds, brokers-dealers, banks, insurance companies, market makers, etc with a mix of local and international players. PiP has offices in Mexico (headquarters), Costa Rica and Peru with 60%, 100% and 100% (refers to mutual funds market in Peru) of market share respectively. As price provider PiP has a widely experience in the valuation of illiquid assets as well as in OTC derivatives and structure instruments. Currently PiP valuates over 25,000 instruments daily in Mexico using proprietary models. PiP also was the pioneer in fixed income benchmarks in Mexico. Currently PiP produces 126 fixed income benchmarks.

Tagged as: