18-171MR ASIC implements financial benchmark regulatory regime
June 12, 2018--ASIC has today finalised and published benchmarks rules, a significant benchmarks declaration, and a regulatory guide in a further series of measures towards establishing a comprehensive regulatory regime for financial benchmarks.
This follows the establishment of a robust licensing regime for financial benchmarks through the recent passage of legislation through the Parliament.
These actions by ASIC include:
declaring certain financial benchmarks to be significant
writing rules to support the implementation of a licensing regime for the administrators of significant benchmarks, and...
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Source: ASIC
Copper Basin Capital Launches MSCI All Country Asia Index Fund
June 12, 2018--Singapore-based investment fund manager, Copper Basin Capital Pte. Ltd., has launched an investment platform that allows investors to invest in one, some or all the 11 GICS(R) sectors comprising the MSCI All Country Asia Index (MSCI AC Asia Index).
The MSCI AC Asia Index, whose components and weights are selected and calculated by MSCI, Inc., is a well-known benchmark index used by sovereign wealth funds, pension plans, foundations, and other global institutional investors as a standard to measure investment manager performance for investments in Asia. The index tracks the performance of 12 Asian markets, namely, China, Hong Kong, India, Indonesia, Japan, Malaysia, Pakistan, Philippines, Singapore, South Korea, Taiwan and Thailand.
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Source: Copper Basin Capital Pte. Ltd.
China eases restrictions on institutional investor programs
June 12, 2018--China said Tuesday that it would ease restrictions on foreign institutional investors in a step to open its financial market wider.
New rules for the Qualified Foreign Institutional Investor (QFII) and the RMB Qualified Foreign Institutional Investor (RQFII) programs will make it easier for investors to move funds out of the Chinese mainland, according to the People's Bank of China and the State Administration of Foreign Exchange.
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Source: xinhuanet.com
IMF-Chart of the Week: Japan's Robots
June 12, 2018--As Japan's population ages and the birth rate is too low to sustain growth, the country is no stranger to coping with a limited number of working age people.
As shown in our Chart of the Week, which we also feature in the latest issue of Finance and Development, Japan is still a leader in robot production and industrial use. The country exported some $1.6 billion worth of industrial robots in 2016-more than the next five biggest exporters (Germany, France, Italy, United States, South Korea) combined. Japan is also one of the most robot-integrated economies in the world in terms of "robot density"-measured as the number of robots relative to humans in manufacturing and industry.
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Source: IMF
Bitcoin crashed after hacker attack in South Korea
June 11, 2018--A cryptocurrency exchange hack in South Korea jolted holders of digital assets, fuelling a $46 billion sell-off and extending this year's Bitcoin slump to more than 50 per cent.
Over the weekend. crypto exchange Coinrail tweeted that it was hacked. and noted that lesser-known cryptocurrencies such as Pundi X were among those affected. according to Google Translate. The Pundi X-bitcoin pair is the most-traded on Coinrail, CoinMarketCap data showed.
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Source: marketplus.ch
The World's Biggest Pension Fund Struggles With Sustainability
June 10, 2018--Making environmental issues a priority has proved elusive to its active managers.
Japan's Government Pension Investment Fund has nearly $1.5 trillion in assets and a legion of external asset managers running its portfolio.
The GPIF sees itself as a "super-long-term investor" with the goal of a century or more of sustainable investment and outflows. Managing money for that long is a matter of stewardship, not just picking assets-and in the past few years, the GPIF has included environmental, social and governance factors as part of its stewardship responsibilities
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Source: Bloomberg
Thailand's Economic Outlook in Six Charts
June 8, 2018--Thailand's economic outlook is improving. Growth is estimated at 3.9 percent in 2017-the fastest pace on an annual basis since 2013-but it has yet to become broad-based.
To secure growth that benefits everyone, the country will need to implement key reforms to raise domestic demand and prepare for the impact of an aging population, said the IMF in its latest annual assessment.
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Source: IMF
SGX reports market statistics for May 2018
June 7, 2018--Securities daily average value (SDAV) on 31 May 2018 was the highest single day SDAV at S$3.53 billion since 31 May 2013, ahead of changes from MSCI's May 2018 semi-annual review of its equity indexes
Open interest in SGX FTSE China A50 Index futures grew 25% month-on-month, as investors geared up for MSCI's A-Shares inclusion
Securities
Total Securities market turnover value was at S$28.2 billion, up 6% month-on-month (m-o-m) and up 6% year-on-year (y-o-y), over 21 trading days.
There were 21 trading days in April 2018 and 21 in May 2017.
Securities daily average value (SDAV) was S$1.34 billion, up 6% m-o-m and up 6% y-o-y.
Market turnover value of Exchange Traded Funds (ETFs) was S$236 million, up 18% m-o-m and down 8% y-o-y.
Market turnover value of structured warrants and Daily Leveraged Certificates (DLCs) was S$1.40 billion, down 18% m-o-m and up 23% y-o-y*.
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Source: SGX
Solactive releases Australian Investment Grade Corporate Bond Select TR Index underlying BetaShares Australian Investment Grade Corporate Bond ETF
June 7, 2018--Solactive is pleased to announce the launch of the Solactive Australian Investment Grade Corporate Bond Select TR Index used as the basis for BetaShares Australian Investment Grade Corporate Bond ETF ("CRED"). The index seeks to replicate the performance of a portfolio of investment grade, senior corporate bonds denominated in Australian dollars (AUD).
The index methodology will favor securities offering superior expected excess returns over Australian government bonds. By selecting bonds based upon expected returns rather than debt outstanding, the index methodology seeks to avoid shortcomings of traditional debt-weighted indices and provide relatively higher returns.
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Sourec: Solactive
World Gold Council-Market Update: China's jewellery market-quietly improving
June 7, 2018--Fuelled by an expanding economy and rising wealth, China's gold jewellery demand has boomed since the early 2000s. Despite this, it has endured some challenging years: jewellery market research shows demand shrank by one-third between 2013 and 2016. But 2017 saw modest growth, following a period of reinvention.
Jewellers' efforts to modernise their product mix, improve design, and seamlessly blend customers' online and offline experiences are starting to bear fruit. It is our view that China's jewellery market has turned a corner. We believe a more consumer-focused industry, combined with China's rising wealth, will support global gold demand and gold's long-term performance.
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Source: World Gold Council (WGC)
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