Real Estate

COMPASS Kalstone Paris Residential Property Index

PARISSQM

The COMPASS Kalstone Paris Residential Property Index (PARISSQM) measures the typical price in euros per square meter of residential properties transacted in Paris, over a period of two weeks. The index is based solely on real physical transactions data.
Graph and statistics
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Date
2021-07-30
Last Value
10812
Annualised Return
4.30%
Annualised Volatility
3.34%
1 Day Return
-0.47%
MTD Return
-0.62%
QTD Return
-0.62%
YTD Return
-2.59%
Since Inception
81.65%
Index Specifications
codeCompass

PARISSQM

AssetClass

Real Estate

Bloomberg Ticker

PARISSQM Index

Sub AssetClass

Residential

Reuters Code

.PARISSQM

Strategy

Beta

ISIN

None

Calculation Frequency

Every 2 weeks

Currency

EUR

Launch Date

2007-05-25

Index Description

The COMPASS Kalstone Paris Residential Property Index (PARISSQM Index) measures the “typical” price in euro per square meter of residential properties transacted in Paris, over a period of two weeks.

The PARISSQM Index is based solely on real physical transactions data. The information used to build the PARISSQM come from the transaction data reported by notaries to Paris Notaires Services (PNS). PNS is considered as the most exhaustive source of information related to real estate transactions in Paris.

The calculation methodology used to compute the index has been designed to provide the most consistent, accurate and understandable short term transacted price picture of the residential property market in Paris.

The PARISSQM is published every two weeks on Friday evening at 5:30pm Paris Time. It is quoted in Euros per square meter and aims to become the benchmark for the “typical” transacted price per square meter  of Paris residential properties.

 

 

A disruptive index on the real estate market.

 

 



Representativeness, responsiveness and transparency.



Key characteristics of the index

Meaning of Index value:  the Index value represents the most recent “typical” transacted price in Paris over a two weeks period. It is quoted in euros per square meter.

Representativeness: the PARISSQM Index is based on the French notaries database BIEN, the most exhaustive database of transactions for the residential property market in Paris.

Type of data used as input: the Index is based solely on realized transactions data rather than appraisals.

Responsiveness: the Index is published every two weeks with an average lag of 6-7 weeks.

Methodology: the methodology is based on central tendency (median), stratification and simple smoothing technics. It has been designed to achieve the following objectives:

  • the PARISSQM Index has to provide a responsive, consistent and accurate measure of the  “typical” transacted price of a square meter in Paris.
  • the construction should be reasonably understandable by the public and particularly by real estate markets participants.
  • the methodology has to be transposable to other geographic areas.
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Index Governance: The Compass Oversight Committee (composed of senior representatives of Compass and external index governance experts) and the PARISSQM Index Steering committee (the steering committee is composed of senior representatives of Compass, Euronext and Kalstone and may include individuals or representatives of companies such academics, external counsels or major Index stakeholders) are in charge of the Index governance.

EU Benchmarks Regulation (EU BMR) : The index is approved as a benchmark under the EU Benchmarks Regulation (EU BMR)