DAXplus® Maximum Sharpe Ratio Indices are based on the national market index portfolios that are optimized according to risk and return analyis. The analysis model is similar to DAXplus Minimum Variance Germany Indices. However the optimization formula was extended with regard to minimizing the portfolio risk and maximizing the excess return of the index portfolio referred to the risk-free yield.

Whereas the selection and weighting of the DAXplus Minimum Variance Indices are assigned to minimizing the portfolio variance, DAXplus Maximum Sharpe Ratio maximise the so-called Sharpe Ratio. This technical figure describes the portfolio yield bearing in mind the risk of the portfolio constituents. The higher the Sharpe Ratio of a portfolio, the higher the excess return related to the individual risk of the investor.

The new portfolio indices enable investors to profit in a direct and systematic way from the insights and findings of modern portfolio theory. With DAXplus Maximum Sharpe Ratio, Deutsche Börse offers a worldwide unique index innovation that is strongly rule-based, transparent and easy to replicate. In short a simple and cost efficient passive risk-return optimised investment strategy.