New ETF finishes lower on debut
May 11, 2012--The first exchange traded fund (ETF) issued by Yuanta Securities Investment Trust since its acquisition of Polaris made its debut on the Taiwan Stock Exchange yesterday yet closed lower, on an overall decline of the TAIEX.
The Polaris SSE 50, which tracks the Shanghai Stock Exchange 50 Index, had a listing price of NT$19.81 and closed at NT$19.66. The weighted stock index TAIEX meanwhile declined 82.64 points to 7,401.37.
read more
Source: China Post
Equity and bond index investors in Asia-Pacific region show dissatisfaction with their indices, and concerns exist over index transparency
May 10, 2012--EDHEC-Risk Institute has released the results of its inaugural Asian Index Survey, a comprehensive survey of 127 Asian investment professionals (asset managers, institutional investors, investment consultants, and private wealth managers) on the subject of indices and passive investment and the first comprehensive account of investor attitudes to equity and bond indices in the Asia-Pacific region.
Respondents are principally from the three asset management hubs in the Asia Pacific region (Australia, Singapore and Hong Kong), but a wide range of other countries are represented, including India, China, Japan and New Zealand. The survey was conducted as part of the Amundi ETF research chair at EDHEC-Risk Institute on “Core-Satellite and ETF Investment.”
view the EDHEC-Risk Asian Index Survey 2011
Source: EDHEC
China's trade surplus widens in April
May 10, 2012--China's trade surplus widened in April as imports barely budged, sharpening fears that the world's second-biggest economy is not doing enough to stimulate domestic demand and counter a slowdown.
Imports edged up 0.3 percent to $144.8 billion in April while exports rose 4.9 percent to $163.3 billion, leaving a surplus of $18.4 billion, according to customs data released Thursday. That compared with a surplus of $5.35 billion in March and a deficit of $31.5 billion in February. China often has a large trade deficit early in the year as factories restock after their long lunar new year holiday break. The weak import numbers could be a sign Chinese policymakers are failing to boost demand by businesses and consumers for imported goods and raises concerns about whether China will be able to bounce back from slowing growth. In March, imports rose 5.3 percent while exports climbed nearly 9 percent.
read more
Source: Todays Zaman
SFC proposes to enhance sponsors regulatory regime
May 9, 2012--The Securities and Futures Commission (SFC) has launched today a two-month consultation on proposals to enhance the regulatory regime of sponsors.
The proposals combining new and existing sponsor requirements will become part of the Code of Conduct (Note 1). The key elements of the proposed regime include:
When submitting a listing application:
a sponsor should have completed the vast majority of due diligence;
the first draft of the prospectus should be published on the website of Hong Kong Exchanges and Clearing Ltd; and
a sponsor should have resolved key issues concerning the operation, governance and structure of the company, and issues affecting the suitability for listing.
read more
Source: Securities and Futures Commission (SFC)
SECP approves regulatory requirements for exchange traded funds
May 9, 2012--The SECP has prescribed detailed requirements for launching Index Tracking Exchange Traded Funds by the Asset Management Companies in Pakistan. Earlier, the SECP had approved regulations governing listing and trading of exchange traded funds (ETFs) on the Karachi Stock Exchange.
The SECP circular has stipulates the regulatory requirements for the authorization of ETFs, including investment restrictions, issuance and redemption of creation units, pricing and dealing, additional disclosure requirements, role of the authorized participants, and fees and expenses.
ETF is a hybrid between an open-end and closed-end mutual fund. It continuously issues shares which trade on a stock exchange and unlike a traditional open-end collective investment scheme (CIS), the ETF does not sell or redeem its individual shares (ETF shares) to and from retail investors at the net asset value. Instead, certain financial institutions known as authorized participant (AP) purchase and redeem ETF shares directly from the ETF in creation units.
read more
Source: Online News
ETF/ETN Monthly Report for April 2012
May 8, 2012--TSE's Newly Listed Inverse/Leveraged ETFs made a good start and scored #3 and #6, respectively in terms of Trading Volume.
TSE's ETF market in April reflected the overall market sentiment and closed 18.09% down in terms of volume. However, since the stock market closed down 20.73%, the ETF market was hit less badly.
Nevertheless, with the market being in doldrums, the newly listed "TOPIX Bull 2x ETF" [1568] and the "TOPIX Bear -1x ETF" [1569] as well as the "Thai Stock SET50 ETF" [1559] and the "Bursa Malaysia KLCI ETF" [1560] of the Next Funds family showed strong growth throughout the past month. In terms of volatility, ETF Securities' Natural Gas ETF [1689] once again scored the top position.
view the TSE ETF/ETN Monthly Report for April 2012
Source: Tokyo Stock Exchange (TSE)
IMF Working paper-Alternative Monetary Policy Rules for India
May 8, 2012--Summary: This paper empirically evaluates the operational performance of the McCallum rule, the Taylor rule and hybrid rules in India over the period 1996-2011 using quarterly data, with a view to analytically informing the conduct of monetary policy.
The results show that forward-looking formulations of both rules and their hybrid version - setting a nominal output growth objective for monetary policy with an interest rate instrument - outperform contemporaneous and backward-looking specifications, especially when targeting core components of GDP and inflation, and combine the best parts of efficiency and discretion.
view IMF working paper-Alternative Monetary Policy Rules for India
Source: IMF
IMF Working paper-China's Impact on World Commodity Markets
May 8, 2012--Summary: Shocks to aggregate activity in China have a significant and persistent short-run impact on the price of oil and some base metals. In contrast, shocks to apparent commodity-specific consumption (in part reflecting inventory demand) have no effect on commodity prices.
China’s impact on world commodity markets is rising but, perhaps surprisingly, remains smaller than that of the United States. This is mainly due to the dynamics of real activity growth shocks in the U.S, which tend to be more persistent and have larger effects on the rest of the world.
view IMF Working paper-China's Impact on World Commodity Markets
Source: IMF
DB-Equity Research-Asia-Pac-ETF Market Weekly Review : ETP AUM defends $100bn milestone
May 7, 2012--Market Review
Last week, all the markets in the Asia-Pacific region, except Japan, remained in positive territory. From north to south, Japan (Nikkei 225) lost 1.48%, Korea (KOSPI2) gained 0.37%, China (CSI 300) advanced by 3.42%, Hong Kong (HSI) increased by 1.66%, Singapore (FSSTI) grew by 0.30%, and Australia (S&P/ASX 200) rose by 0.78% over the previous week.
New Launch Review
Last week, two new products were launched in the Asia-Pacific ETP market. Samsung Asset Management listed one equity ETF on the Korea Stock Exchange tracking MSCI Korea Index. Vanguard listed one fixed income ETF on the Australian Securities Exchange tracking the UBS Government Bond Index.
Turnover Review
Asia-Pacific ETP turnover fell to $3.3bn (-43%) last week due to holidays in many parts of the region. South Korea continues to be on top of the turnover ranking with $1.1bn, followed by China ($0.9bn), Hong Kong ($0.7bn), Japan ($0.3bn), and Australia ($0.1bn). Among Equity ETFs, Emerging Country, Leveraged Strategy, Asia Pac Developed Country, and Short Strategy ETFs had total turnover of $1.8bn, $486m, $467m and $234m respectively. Under the Commodity asset class, turnover in Gold ETPs totaled $69m for the last week.
Assets Under Management Review
Asia-Pacific ETP AUM edged higher and ended at $101.1bn. On a year-to-date basis, Asia-Pacific ETP market is up by $9.6bn or 10.5% above last year’s closing.
to request report
Source: Deutsche Bank - Equity Research - Asia Pacific
SSE Select Industries Indices, SSE Leading Consumption and Services Index and SSE Banks Index To Be Launched(
May 4, 2012--Designed to serve as new investable benchmarks for investors, SSE and CSI today announced the upcoming launch of SSE Select Industries Indices, SSE Leading Consumption and Services Index and SSE Banks Index on May 28th 2012.
Regarding the methodologies and more details of the above indices, please refer to the official website of SSE (www.sse.com.cn) and CSI (www.csindex.com.cn).
Source: Shanghai Stock Exchange
If you are looking for a particuliar article and can not find it, please feel free to contact us for assistace.