DB-Equity Research-Asia-Pac ETF Market Weekly Review : ETP AUM crosses the $100bn milestone
February 21, 2012--Market Review
Most of the Asian equity markets stayed in positive territory last week. From north to south, Japan (Nikkei 225) gained 4.88%, Korea (KOSPI2) increased by 1.78%, China (CSI 300) grew by 0.14%, Hong Kong (HSI) advanced by 3.41%, and Singapore (FSSTI) rose by 1.37%, while Australia (S&P/ASX 200) lost 1.16% over the previous week.
New Launch Review
Nine new products were launched in the Asia-Pacific ETP market during last week. The Hong Kong market saw seven new equity ETFs and one commodity ETF listed in the Hong Kong Stock Exchange. Enhanced Investment Products Ltd made its debut with four equity ETFs offering exposure to country benchmarks of Malaysia, Thailand, Taiwan and Korea, respectively. Ping An of China Asset Management launched three equity ETFs tracking the CSI Hong Kong Dividend Index, CSI Hong Kong Mid Cap Select Index and the CSI RAFI Hong Kong 50 Index respectively. All these ETFs were listed on the Hong Kong Stock Exchange. Kyobo AXA Investment Mg Co Ltd listed an ETF on Korea Stock Exchange tracking the Kospi 200 Index. Lastly, Hang Seng Investment Mgmt. launched an ETF tracking gold which was listed on the Hong Kong Stock Exchange.
Turnover Review
Asia-Pacific ETP turnover totaled $6.3bn for last week, 6% down from the previous week’s total. South Korea continues to be on top of the turnover ranking with $2.4bn, followed by China ($1.5bn), Hong Kong ($1.2bn), Japan ($0.8bn), and Taiwan ($0.4bn). Among Equity ETFs, Emerging Country, Leveraged Strategy, Asia Pac Developed Country, and Short Strategy ETFs had total turnover of $3bn, $1.1bn, $1bn and $0.7bn respectively. Under the Commodity asset class, turnover in Gold ETPs totaled $80m for the last week.
Assets Under Management Review
After testing the historical $100bn mark for a few weeks in succession, Asia-Pacific ETP AUM finally managed to cross it and ended close to $101bn. On a year-to-date basis, Asia-Pacific ETP market is up by $9.4bn or 10.3% above last year’s closing.
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Source: Deutsche Bank - Equity Research - Asia Pacific
Motilal Oswal launches MOSt Gold Shares-Now get gold at a lower price!
February 21, 2012--Motilal Oswal Mutual Fund announced the launch of Motilal Oswal MOSt Shares Gold ETF (MOSt Gold Shares), an open ended exchange traded fund that invests in gold bullion. Continuing with the tradition of creating 'India's first' products, MOSt Gold Shares is India's 1st Gold ETF of its kind which seamlessly enables Investment as well as Consumption of Gold for Retail Investors.
The NAV of the MOSt Gold Shares unit will track spot price of 1 gm of gold. Valued at spot gold bullion prices, investors can get pure imported Gold at a price lower than any other option in the market by redeeming the ETF units for physical gold bars in as low as 10 grams across 22 cities in India. It will provide investors a means of participating in the gold bullion market and take physical delivery of gold when needed. This makes MOSt Gold Shares stand apart from others.
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Source: Motilal Oswal Mutual Fund
India-MCX IPO to open tomorrow-first bourse to hit capital market
February 21, 2012--India's largest commodity bourse MCX will hit the capital market tomorrow with an estimated Rs 663 crore initial public offer (IPO), pursuant to with it would become the country's first ever exchange to get listed.
The bidding for shares in the IPO -- the first in the year 2012 -- will open tomorrow and close on February 24, MCX Managing Director and CEO Lemon Rutten told journalists here.
The price band of the IPO has been fixed in the range of Rs 860 to Rs 1032 per share, with a face value of Rs 10 each.
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Source: Economic Times
SZSE Issues a Notice of 3rd Cross-market ETF Whole-network Testing, Rolling out SSE-SZSE 300 ETF on Countdown
February 21, 2012--Yesterday, Shenzhen Stock Exchange and China Securities Depositary and Clearing Corp. Ltd. jointly issued the Notice on Third Whole-network Simulation Test for Cross-market ETF on Shenzhen Market, planning to organize such market participants as Bank of China, fund management companies to launch the third whole-network test. And the move also signals the SZSE has well prepared the work for SSE-SZSE 300 ETF.
Since the SZSE first rolled out the ETF products in 2006, it has been actively put tremendous effort to doing research on cross-market ETF products. The SZSE, China Securities Depositary and Clearing Corp. Ltd. and Harvest Fund Management Company successfully designed and developed the cross-market ETF products scheme and relevant technical system in view of the sophisticated experience of overseas market, taking into the consideration China’s securities trading, registration and clearing system. As for the technical system, two whole-network tests were made respectively in September, 2010 and January, 2011. On Feb.06, 2012, China Securities Regulatory Commission accepted the application for Harvest SSE-SZSE 300 ETF, and the countdown for rolling out SZSE cross-market ETF begins.
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Source: Shenzhen Stock Exchange
Kospi 200 Index option could lose volume due to regulatory changes
February 20, 2012--The Korea Exchange's Kospi 200 Index option, which trades at a higher volume than all the contracts on the CME Group and Eurex futures exchanges combined, could become more expensive to trade because of actions by Korea's regulator, the Financial Services Commission.
The agency plans to increase the value of the Kospi 200 Index option to bring it closer in line with the standard contract size for most international indices.
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Source: efinancila news
Eastday-Hopes high for ETFs to be attractive
February 19, 2012-CHINESE mainland investors may find the cross-border exchange-traded fund (ETF) a new and attractive investment option, according to market analysts.
A statement on the securities regulator’s website on Monday said the China Securities Regulatory Commission is vetting applications from two Chinese fund companies to launch the mainland’s first ETF linked to the Hong Kong stock market.
They are Guangzhou-based E Fund Management that will launch the ETF, which is linked to the Hang Seng China Enterprises Index that tracks the performance of Chinese companies listed in Hong Kong, on the Shanghai Stock Exchange and Beijing-based China Asset Management which plans to launch its ETF linked to the Hang Seng Index that will trade on the Shenzhen Stock Exchange.
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Source: Clearing & Settlement
China to develop new financial options, forex futures
February 19, 2012--The China Financial Futures Exchange (CFFEX) is developing new financial instruments including options and foreign currency futures, the official China Securities Journal reported on Saturday, citing general manager Zhu Yuchen.
The exchange will also issue new index futures products based on underlying indices such as Shenzhen's SME board, Zhu was quoted as saying, without giving a timetable.
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Source: Reuters
Ping An Lauched Three ETFs And Plans Big Push
February 19, 2012--Ping An of China Asset Management on Wednesday listed three exchange-traded funds (ETFs) in Hong Kong that invest in the territory, Ignites Asia reports. The company is considering launching more ETFs this year and hopes to attract more institutional clients from China to its advisory business.
The three new ETFs are the Ping An of China CSI HK Dividend ETF, the Ping An of China CSI HK Mid Cap Select ETF, and the Ping An of China CSI RAFI HK50 ETF.
The ETFs were launched under the company’s Ping An China/HK ETF series, which now has four ETFs. The first in the series is the Ping An of China CSI RAFI A-Share 50 ETF, which was launched in 2010. The Ping An of China CSI HK Dividend ETF focuses on companies that consistently drive dividend yield, while the Ping An of China CSI HK Mid Cap Select ETF targets companies with high growth potential and high beta. “These two ETFs are the first of their kind in Hong Kong, providing more investment options for investors,” says Timothy Chan, chairman at PAAMC Hong Kong.
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Source: ETF radar
Measures to Prevent Recurrence and Other Matters Concerning the Failure in the Equity Trading System
February 17, 2012--Tokyo Stock Exchange (TSE) would like to offer its deepest apologies for the inconvenience and concern caused to investors and other market users by the failure in the equity trading system on
February 2, 2012.
TSE hereby informs you that a report containing the reason for the system failure, response by TSE,
locus of responsibility, measures to prevent reoccurrence and other matters with regard to said system
failure was compiled.
1. Background
At 7:38 a.m. on February 2, 2012, an incident occurred in the equity trading system (hereafter "said system") where market information of some issues could not be distributed. The reason was
later determined to be the unsuccessful completion of the switching procedure to a standby device which was triggered by a hardware failure that had occurred at 1:27 a.m. on the same day within
said system at one of eight information distribution gateway servers which distribute market
information.
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Source: Tokyo Stock Exchange (TSE)
China soon will overtake India as top gold market
February 17, 2012--China is poised to overtake India to become the world's biggest gold market this year as rising incomes fuel demand for the precious metal and a weak rupee diminishes Indian purchases, an industry group said Thursday.
The amount of gold bought in China rose 20 percent in 2011 over the year before to 770 metric tons, the World Gold Council said in its annual report. That put China behind only first-place India, where 933 metric tons were bought.
Worldwide, the amount of gold purchased rose 0.4 percent to 4,0671 metric tons worth $205.5 billion.
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Source: The Mainichi Daily News
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