The JPX-Nikkei 400 Net Total Return USD Hedged Index is one of the indices which consists of the "JPX-Nikkei 400 Currency Hedged Index" and the index measures the return of the JPX-Nikkei 400 Net Total Return Index achieved by fully hedging its currency risk for investors outside Japan i.e. non-Yen, USD-based investors.
In addition to the JPX-Nikkei 400 Net Total Return USD Hedged Index calculated by using a monthly hedging method, the JPX-Nikkei 400 Net Total Return Daily USD Hedged Index is also calculated by using a daily hedging method.
The JPX-Nikkei 400 Net Total Return USD Hedged Index is calculated on the JPX-Nikkei 400 Net Total Return Index. JPX-Nikkei 400 is composed common stocks whose main market is the Tokyo Stock Exchange Prime Market, Standard Market or Growth Market (in principle).
Daily return of the index is calculated by the combination of the following 2 returns: (1) The return of the Target Index i.e. JPX-Nikkei 400 Net Total Return Index in foreign currency, which is the return accruing from an unhedged Target index investment to an investor whose home currency is not JPY, (2) The return from the hedge, calculated by a linear interpolation of spot and forward prices. The hedge ratio is 100%. Both monthly hedged index and daily hedged index are calculated.
Base date etc
The index started to be published from January 26, 2015. The inception value was 10,000 points on August 30, 2013 (calculation base date) and calculated retroactively back to December 30th, 2008. The index has been calculated and published on the end-of-day basis.