ESMA assesses EU financial market impact of circuit breakers
January 7, 2020--The European Securities and Markets Regulator (ESMA), the EU's securities markets regulator, today publishes a study on the market impacts of circuit breakers.
Sudden and drastic price swings in financial markets can be a source of market instability and are a concern for market participants, supervisors and regulators. Circuit breakers are key instruments used by trading venues to regulate markets and interrupt excessive price movements.
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Source: ESMA
Amun Research Newsletter-Issue 36
January 7, 2020--Market Outlook
Needless to say, the crypto asset market has been off to a strong start thus far in 2020 with the entire crypto asset market posting extremely positive returns.
The key drivers of this early growth have been increased geopolitical tensions due to escalations of the conflict between the United States and Iran. Even today, Tuesday December 7, the market has surged, with Bitcoin up by 4.55% as investors seem to be increasingly seeing Bitcoin as a viable alternative to gold as a hedge against global instability-though gold's reaction to the tensions has been also noticeably strong in the last few days.
The performance of the top five crypto assets is a follows: BTC (7.42%), ETH (9.67%), XRP (15.02%), BCH (17.45%), and LTC (8.25%).
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Source: AMUN
National Statistics: UK official holdings of international reserves: December 2019
January 6, 2020--This monthly release shows details of movements in the UK's official holdings of international reserves, or assets. These consist of gold, foreign currency assets and International Monetary Fund assets.
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Source: gov.uk
Passive investing boom reaches Europe as assets hit $1tn
January 5, 2019--The assets held in exchange traded funds in Europe surged beyond the $1 trillion mark for the first time as disenchantment with stockpickers grows.
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Source: FT.com
High demand prompts launch of Europe's first cannabis ETF
January 5. 2020--Similar products in North America have proved popular despite a poor year for the sector
European savers will soon be offered their first opportunity to invest in an exchange traded fund focused on the fast-growing legal marijuana industry.
Canadian fund group Purpose Investments plans to launch the Medical Cannabis and Wellness ETF from January 13, which will be Europe's first such product. The fund will be listed in Germany and made available to investors in the UK, Italy and Ireland.
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Source: FT.com
Monetary developments in the euro area: November 2019
January 3, 2010--Annual growth rate of broad monetary aggregate M3 stood at 5.6% in November 2019, after 5.7% in October 2019 (revised from 5.6%)
Annual growth rate of narrower monetary aggregate M1, comprising currency in circulation and overnight deposits, stood at 8.3% in November, compared with 8.4% in October
Annual growth rate of adjusted loans to households stood at 3.5% in November, unchanged from previous month
Annual growth rate of adjusted loans to non-financial corporations decreased to 3.4% in November from 3.8% in October
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Source: ECB
IMF Staff Country Report-Turkey: Selected Issues
December 26, 2019--1. Turkey's economy has grown rapidly over the past decade, mainly by increasing inputs. With an average annual real growth of around 5½ percent over the last 10 years, Turkey has been one of the fastest growing economies in G20 and other larger emerging markets. However, growth has become more unbalanced. Strong post-2009 output growth has been largely due to increased capital accumulation, driven by construction investment activities and financed, in large part externally, and by rapid credit growth.
Labor inputs also contributed positively to growth, supported by a pick-up in female labor force participation-but its contribution appears to have leveled off in recent years. Over the same period, the high investment rate (greater than the neo-classical golden rule benchmark would suggest), together with high inflation and elevated private sector and external debt, point to past over-investment.1
view the IMF Staff Country Report-Turkey: Selected Issues
Source: IMF
European fixed-income investors demanding fee cuts
December 23, 2019-European fixed-income investors are pushing for fee cuts from active managers whose performance is suffering.
For this state of affairs, money managers can thank central banks that constructed the persistent low-interest-rate environment as they are finding outperformance is nearly impossible to show when €5.3 trillion ($5.86 trillion), or 50.7%, of European government bonds and 28.3% of euro-denominated investment-grade corporate bonds have negative yields.
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Source: Pensions & Investments
ESMA: EU Issuers Need To Improve Their Disclosure Of Alternative Performance Measures
December 20, 2019--The European Securities and Markets Authority (ESMA) has published a report on European Union (EU) issuers' use of Alternative Performance Measures (APMs) and their compliance with ESMA's APM Guidelines.
ESMA's assessment of issuers' compliance with the APM Guidelines shows that there is significant room for improvement as only a minority of issuers comply with all principles of the Guidelines in their:
annual earnings results;
management reports; and/or
prospectuses.
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Source: ESMA
Saga launches its cryptocurrency as Libra waits in the wings
December 18, 2019--December 18, 2019--Last week brought the launch of a new digital currency called Saga that has portrayed itself as the academic's answer to the cryptocurrency craze.
Saga first emerged in early 2018, but it has changed quite a lot since then. Many of those changes are telling when it comes to analysing the increasingly hostile regulatory climate for digital currencies, particularly so-called stablecoins that aim to rival more traditional currencies.
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Source: businesstelegraph.co.uk
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