Greater China ETF AUM to grow on increasing investor acceptance, pent-up demand: Brown Brothers Harriman Survey
May 3, 2018--Some 90% of Mainland China respondents likely to invest in Hong Kong ETFs when included in Stock Connect
Brown Brothers Harriman (BBH), a market-leading ETF custodian, administrator, and trustee, today announced the results of its inaugural Greater China ETF Survey, which highlights that the potential inclusion of ETFs in China-Hong Kong Stock Connect would likely unleash pent-up demand for Hong Kong ETFs from Mainland Chinese investors.
Nearly 90% of Mainland investors surveyed say they would likely invest in ETFs through the Stock Connect program, which allows international investors to trade securities listed on the Shanghai and Shenzhen exchanges, and Mainland investors to trade securities listed on the Hong Kong exchange. While ETFs are not currently part of the Stock Connect program, regulators are planning their future inclusion as early as late 2018.*
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Source: Brown Brothers Harriman (BBH)
Being active isn't that hard...an introduction to Active ETFs
May 2, 2018--Over the years, the perennial debate of the relative benefits of passive versus active management has been raging amongst personal investors, finance professionals, academics and just about anyone with an interest in investing.
Although there is no doubt that this discussion will continue for years to come, it has become apparent that each management style has its pros and cons and both can have their own place in an investment portfolio with respect to investor risk, investment horizon and objectives.
At BetaShares we certainly believe there is a place for both active and passive management in investors' portfolios and that is why we have several Active ETFs as part of our product suite.
For those new to the game, or those investors wanting a refresher, here is a brief run down on the differences between passive and active investing.
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Source: BetaShares
REFILE-MOVES-J.P. Morgan Asset Management names new head of Asia beta strategies
May 2, 2018--The asset management arm of JPMorgan Chase and Co on Wednesday appointed Philippe El-Asmar as head of Asia beta strategies.
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Source: Reuters
ASX blockchain to go live at end of 2020
April 27, 2018--The world's first industrial-scale blockchain in financial services will be switched on between September 2020 and March 2021, the ASX said on Friday, and will offer the possibility of settling trades in one day rather than two to reduce risk.
The ASX's distributed ledger will be used to clear and settle the $2 trillion cash Australian equities market. A consultation paper released by ASX says the new system. which is being built by New York-based Digital Asset. will also automate various corporate actions, part of 50 new features the ASX says will help market participants streamline processes to reduce costs.
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Source: afr.com
ETFGI reports assets invested in ETFs/ETPs listed in Japan break through the 308 billion US dollar milestone at the end of March 2018
April 25, 2018-- 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 broke through the US$300 Bn milestone to reach US$308.46 Bn at the end of March 2018. (All dollar values in USD unless otherwise noted.)
Highlights
Assets invested in ETFs/ETPs listed in Japan broke through the US$300 Bn milestone at the end of March 2018
In March 2018, ETFs and ETPs listed in Japan gathered record net inflows of $15.57 Bn, beating the prior record of $10.44 Bn set in March 2017
March 2018 also marked the 5th consecutive month of net inflows into ETFs/ETPs listed in Japan
Japan ETF and ETP asset growth as at end of March 2018
At the end of March 2018, the Japanese ETF industry had 176 ETFs, with 190 listings, assets of $305.69 Bn, from 17 providers on 2 exchanges.
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Source: ETFGI
IMF Working Papers-A New Strategy for Korea's Fiscal Policy in a Low Growth Environment
April 24, 2018--Summary
Adverse demographics and other structural weaknesses impinge on Korea's long-term fiscal outlook and potential growth. Moreover, inadequate social protection is creating poverty and dampening consumption. The paper presents projections of Korea's fiscal outlook, using new estimates of potential growth obtained with a novel multivariate filter.
It shows that keeping fiscal revenues-to-GDP constant would result in an explosive public debt dynamic in the long term. Then, through simulations of the Flexible System of Global Models, the paper analyzes policies to preserve fiscal sustainability, while boosting potential growth and social protection. It concludes that with greater revenue mobilization, Korea can stabilize debt-to-GDP well below “dangerous” levels. Policies to address Korea's challenges include higher targeted transfers to the most vulnerable and fiscal measures to support female labor force participation and employment, accompanied by product and labor market reforms.
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Source: IMF
These Are the Stocks to Buy If the Two Koreas Reunify, Says Nomura
April 19, 2018--'You might think it's a bit early,' Nomura's McCafferty says
Leaders of two countries to hold historic summit next week
Some might say Nomura Holdings Inc. is getting ahead of itself.
Before an historic meeting between North and South Korean leaders next week, the brokerage has a list of stocks to buy should the countries decide to reunify.
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Source: Bloomberg
4 Reasons Why Investors Should Consider Commodities
April 18, 2018--While the majority of Australian investors' portfolios tend to be very equity-heavy, in the current economic environment there may be a case for diversifying across asset classes and increasing commodities exposure.
This article looks at four of the key factors supporting a bullish view on commodities in the near-term.
1. Reflation and Releveraging
Economic reflation (a fancy word for stimulating the economy by doing things like increasing the money supply or by reducing taxes) is now in full swing globally, with synchronised growth being seen across both developed and emerging economies. The expansion in global manufacturing and industrial activity to 4 year highs drove demand for commodities through the second half of last year and should continue to provide a supportive backdrop for commodity fundamentals-with periods of higher inflation and global growth having historically benefited commodity prices relative to stocks and bonds.
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Source: BetaShares
China first-quarter GDP grows 6.8% on private investment rebound
April 17, 2018--Groups, record spending on fixed assets powers economic gains after 2017 slowdown
China's economy grew 6.8 per cent in the first quarter over the same period last year-above the government's 6.5 per cent target-as a rebound in private investment compensated for a declining trade surplus.
An emerging trade war with the US, in addition to Beijing's efforts to restrain debt and runaway property prices, were expected to hamper growth this year.
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Source: FT.com
World Bank-Philippines Economic Update: Investing in the Future
April 16, 2018--ECONOMIC AND POLICY DEVELOPMENTS
In 2017, the Philippines was among the top three growth performers in the region. Only Vietnam and China did better. The Philippine economy grew from 6.9 percent year-on-year in 2016 to 6.7 percent year-on-year in 2017.
Growth was anchored in strong exports, while investment growth significantly slowed and consumption growth moderated. The Philippines' annual exports rose sharply in 2017 and became the main engine of economic growth, while imports continued to grow by double-digits. Investment growth slowed in 2017, following two consecutive years of rapid expansion, and climbing inflation slowed real wage growth and contributed to a moderation in private consumption growth.
view the World Bank
Philippines Economic Update: Investing In The Future
Source: World Bank
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