China creates special bond to support local government projects amid debt woes
August 3, 2017--The new type of bond will only be covered by returns from the project being funded and limited to government land and toll road projects
China's finance ministry has created a new type of bond for local government fund raising amid rising risks and irregularities in borrowing.
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Source: South China Morning Post
India Cuts Rates as RBI Sees 'Urgent Need' to Boost Investment
August 2, 2017--Most economists in Bloomberg survey had predicted the move
Keeps neutral stance, retains growth and inflation forecasts
India cut interest rates to the lowest since 2010 to boost an economy struggling to recover from Prime Minister Narendra Modi's cash clampdown.
The benchmark repurchase rate was lowered to 6 percent from 6.25 percent, the Reserve Bank of India said in a statement in Mumbai on Wednesday.
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Source: Bloomberg
ETFGI reports assets invested in ETFs/ETPs listed in Japan have increased 26.7 percent in the first half of 2017
August 2, 2017--ETFGI, a leading independent research and consultancy firm on trends in the global ETF/ETP ecosystem, reported today that assets invested in ETFs/ETPs listed in Japan have increased by 26.7% from US$173.30 Bn to reach a new record of US$219.60 Bn in the first half of 2017, according to ETFGI's June 2017 Japanese ETF and ETP industry insights report.
At the end of June 2017, the Japanese ETF/ETP industry had 188 ETFs/ETPs, with 233 listings, assets of US$220 Bn, from 21 providers listed on 2 exchanges.
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Source: ETFGI
TOCOM Adopts Delivery by Physicals for Precious Metals Market
August 2, 2017--The Tokyo Commodity Exchange, Inc. (TOCOM) announced today Precious Metals Market rule changes for Declared Delivery and Customized Delivery.
The new rules allow settlement through the delivery of bars instead of warehouse receipts where there is consent between buyer and seller. The updated rules took effect on August 1 and are applicable to the August 2017 contracts onward.
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Source: Tokyo Commodity Exchange, Inc. (TOCOM)
BetaShares-5 things to know before you invest in ETFs
August 1, 2017--With the Australian Exchange Traded Fund (ETF) industry just shy of $30B in assets and ETFs now being more actively traded than stocks in the US*, it's unsurprising that more and more investors are starting to adopt ETFs as core building blocks of their portfolios.
One reason why this trend may be set to continue is that exchange traded products have evolved from being more than just index tracking strategies.
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Source: betashares.com.au
Hong Kong Stock Exchange to Launch Blockchain-Powered Market in 2018
August 1, 2017--The Hong Kong Stock Exchange (HKEX) is planning to launch a blockchain-powered private market aimed at helping smaller firms obtain financing.
HKEX chief executive Charles Li detailed the plan, which would play out through a separate venture dubbed HKEX Private Market, in an August 1 note.
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Source: coindesk.com
IMF-For Japan's Economy, Now Is the Time to Step Up Reforms
July 31, 2017--Japan's economy is expected to grow again this year-at 1.3 percent-thanks to a continued pickup in trade and temporary fiscal support.
But a rapidly aging population and a shrinking workforce mean that the country will need to speed up reforms to boost wages, productivity, and growth, said the IMF in its annual review of the Japanese economy.
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Source: IMF
IMF County Report-Japan: Selected Issues
July 31, 2017--WHY ISN'T PRIVATE INVESTMENT HIGHER IN JAPAN?1
What is holding back private investment in Japan? Are market competition and regulation playing a
role in depressing investment? A novel firm-level dataset with almost half a million Japanese firms is
used to address these questions.
Findings support the hypothesis that sectoral concentration (i.e.
reduced competition) has had a significant negative impact on firm- and sector-level investment.
Results point to potential benefits from decreasing barriers to entry, protection of incumbents, and
market concentration in some sectors. OECD measures of product market regulation indicate that there
is room for further reform in the gas and telecom sectors, and deregulation of professional services.
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Source: IMF
IMF Country report-Singapore: Selected Issues
July 28, 2017--ASSESSING BANKING SECTOR PERFORMANCE1
A. Banking Sector Trends
1. The financial cycle is firming after a prolonged moderation. Credit expanded mildly in 2016 with both lending to residents and nonresident picking up (Figure 1).
The pullback in trade financing since mid-2014 reflected unwinding of RMB carry-trades as the interest differential between the Chinese Renminbi (RMB) and the U.S. dollar narrowed and the Renminbi came under depreciation pressure. Overall lending activity firmed further in 2017:Q1, underpinned by domestic demand for credit, including in the interbank market, and the trade-related sectors. Additionally, a
recovery in regional trade and an acceleration in growth momentum in the Eurozone helped
support non-bank cross-border lending.
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Source: IMF
Hang Seng Indexes Licenses Fubon to Use Hang Seng China Enterprises Index as Basis for ETF
July 28, 2017--Hang Seng Indexes Company Limited ("Hang Seng Indexes") has licensed the Hang Seng China Enterprises Index ("HSCEI") to Fubon Asset Management Company Limited ("Fubon") to serve as the underlying index for the creation of an exchange-traded fund ("ETF").
The ETF was listed on the Taiwan Stock Exchange today.
The HSCEI is the leading barometer for tracking the performance of mainland China enterprises listed in Hong Kong.
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Source: Hang Seng Indexes
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