Dow Jones Indexes together with LVA Indices and Proveedor Integral de Precios (PIP) are launching the Dow Jones LATixx Indexes. The series will measure corporate and government bonds in major Latin American countries.

The three companies have signed a joint marketing agreement to raise the profile and contribute to the transparency of the region's growing fixed income market. Under the deal LVA, a fixed income index and pricing provider in Chile, and PIP, an index and pricing provider in Latin America, will calculate, market and licence the Dow Jones index series.

The first 10 indices in the series represent the bond markets in Mexico and Chile. There are five indices for the Mexican fixed income market measuring the performance of specific types of government-issued bonds. There are also five for the Chilean fixed income market including government and corporate bonds.

The Mexican indices have been licensed by Barclays Global Investors (BGI) to serve as the basis for exchange-traded funds (ETFs). The ETFs are expected to be available from July.

The three companies expect to expand the initiative to include additional fixed-income indices for Brazil, Peru, Colombia, Costa Rica, Venezuela and Argentina.

"The bond market is the primary and most actively used investment vehicle in Latin America," said Michael Petronella, president of Dow Jones Indexes. He said the Latin American index series will provide market participants with diversified exposure to this growing asset class.