China to relax rules on foreign investment under RQFII: Xinhua
February 24, 2013--China will soon relax rules for qualified foreign investors when they channel their offshore yuan holdings into China's securities market, the official Xinhua news agency said on Sunday.
Under the revised rules, Renminbi Qualified Foreign Institutional Investors (RQFII) will no longer be required to put at least 80 percent of their funds into the domestic fixed income market, Xinhua said, citing market regulator the China Securities Regulatory Commission.
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Source: Reuters
Asian banks win record share of debt deals
February 24, 2013--The market share of Asian banks arranging corporate bonds for European and US companies has risen to an all-time high,
in a sign of the growing power of eastern financial institutions on global capital markets. Banks, mainly based in China and Japan,...
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Source: FT.com
Shanghai Stock Exchange, China Securities Index Co.: Announcement About Adjusting Constituent Universe Of Sse Enterprise Bond Index, Etc.
February 21, 2013--According to Security & Future industry Statistical Indicators Norm Guide issued by CSRC in January this year, China Securities Index Company decides to adjust constituent universe of SSE Enterprise Bond Index and CSI Enterprise Bond Index.
The detached convertible bond and enterprise bond are excluded in the constituents. The so called corporate bond is this type of bonds which are examined and approved by CSRC. The adjustment will take effect on March 1st, 2013.
Source: Online News
Chinese AM firms list ETFs on Tokyo Stock Exchange
February 20, 2013--China AMC (Hong Kong) and CSOP Asset Management were given permission on Friday (February 15) to list their exchange traded funds on the Tokyo Stock Exchange. The ETFs are the first funds overseen by Chinese asset managers to go public in Japan. They are expected to list on February 27.
The two ETFs were launched by China AMC (Hong Kong) and CSOP Asset Management under the RQFII scheme late last year. The ChinaAMC CSI 300 Index ETF-JDR will track the CSI 300 index (the 300 largest firms on the Shanghai and Shenzhen stock exchanges) and the CSOP FTSE CHINA A50 ETF will track the FTSE China A50, covering the 50 largest issuers on the two main Chinese bourses.
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Source: Asia Asset
S&P Dow Jones Indices And ASX Make S&P/ASX 200 VIX Available In Real-Time
February 20, 2013--From 28 February, Australia,s equity market volatility benchmark, the S&P/ASX 200 VIX (VIX), will be made available in real-time.
This will provide the market with intra-day volatility information and importantly, enables ASX to create derivative products for hedging and trading the volatility asset class.
The real-time S&P/ASX 200 VIX will replace the current end-of-day VIX index by using the real-time bid/ask prices of S&P/ASX 200 index options to calculate the VIX index value.
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Source: Mondovisione
Morningstar- ETF inflows at record highs
February 19, 2013--The exchange-traded fund (ETF) market achieved record-high inflows for the fourth consecutive month, according to BetaShares' Australian ETF Review for January 2013.
The industry recorded a 5.9 per cent market capitalisation growth with net inflows of approximately $110 million for the month.
The best exchange-traded products by performance for the month were platinum, followed by US and global international equities products.
"With the local market rallying approximately 5 per cent for the month, ETF investors bought both domestic and international equities products, including the US, Europe and Asia, indicating renewed investor appetite for growth-oriented products," BetaShares head of investment strategy Drew Corbett said.
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Source: Morningstar
Thai bourse lists ThaiDEX SET100 ETF on February 21
February 19, 2013--The Stock Exchange of Thailand (SET) will list ThaiDEX SET100 ETF, managed by One Asset Management Limited, on its main board on February 21, under the ticker symbol "TH100."
TH100, an open-end exchange-traded fund (ETF), will track the movement of the
SET100 Index (SET100), calculated from the stock prices of the top 100 listed
companies on SET in terms of market capitalization, high liquidity and
compliance with requirements regarding distribution of shares to minor
shareholders.
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Source: Stock Exchange of Thailand (SET)
MCX-SX announces incentives to boost liquidity
February 19, 2013--MCX-SX has announced incentive schemes to brokers, market makers and investors to improve liquidity on its platform.
The liquidity enhancement scheme (market-making) in its equity (cash) and equity derivatives segments starts on March 6.
All participants providing a daily volume of up to Rs 200 crore in the equity segment will be entitled to an incentive of Rs 600 for one crore. Those who provide higher liquidity will be compensated at Rs 850 per crore.
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Source: Hindu Business Line
DB-Synthetic Equity & Index Strategy-Asia-Pac Weekly ETF Market Review-ETP AUM reduced marginally amid bullish equity markets
February 18, 2013--Market Review
Last week, all the major markets in the Asia-Pacific region remained in positive territory. Compared to the week before, from north to south:
Japan (Nikkei 225) +0.19%
Korea (KOSPI2) +1.76%
Hong Kong (HSI) +0.99%
Singapore (FSSTI) +0.39%
Australia (S&P/ASX 200) +1.26%
Stock exchanges in China remained closed during last week due to Chinese New Year holidays.
New Product Launch Review
There was no new ETP listing in the last week.
Turnover Review
Asia-Pacific ETP turnover totaled $4.8bn for the last week, 64% down from the previous week’s total due to the holidays in most of the major markets (China, Hong Kong, Taiwan, Japan, South Korea, Singapore). South Korea reached on the top of the turnover ranking with $2.5bn turnover, followed by Japan ($1.3bn), Hong Kong ($0.7bn), and Australia ($0.1bn). Among equity ETFs, leveraged long, Asia-Pacific developed country, emerging country, and short ETFs had total turnovers of $1.4bn, $1.3bn, $1.2bn, and $0.6bn respectively. Among the commodity asset class, turnover in gold ETPs totaled $88mn.
Assets under Management Review
Last week, Asia-Pacific ETP AUM decreased by $0.5bn and ended at $139.4bn. On a year-to-date basis, Asia-Pacific ETP market is up by $3.4bn or 2.5% above last year’s closing.
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Source: Deutsche Bank - Synthetic Equity & Index Strategy - Asia
China Breeze-Midpoint in the cyclical rally
February 18, 2013--Liquidity has been the major driver of the H-share rally so far. MSCI China has rallied 22% since September 2012, with P/E ratio expansion (from 8.7x to 10.4x) contributing 19%, and EPS upgrade the remaining 3%.
We see sufficient liquidity continues to enter the market. In China, January total social finance (TSF) reached a record high of Rmb2.54 trillion (up 160% YoY). In the Hong Kong stock market, the past three months’ inflow to China funds has been the strongest in decades.
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Source: Mirae Asset Securities (HK) - Global Research Center
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