MiFID II: ESMA makes new bond liquidity data available
August 1, 2019--The European Securities and Markets Authority (ESMA) has started today to make available new data for bonds subject to the pre-and post-trade requirements of the Markets in Financial Instruments Directive (MiFID II) and Regulation (MiFIR) through its data register.
ESMA has started today to make available the latest quarterly liquidity assessment for bonds available for trading on EU trading venues. For this period, there are currently 594 liquid bonds subject to MiFID II transparency requirements.
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Source: ESMA
The Coming Clash Between Climate and Trade
August 1, 2019--The new leaders of the European Union, who have relentlessly championed open markets, will, ironically, likely trigger a conflict between climate preservation and free trade. But this clash is unavoidable, and how Europe and the world manage it will help to determine the fate of globalisation, if not that of the climate.
The incoming president of the European Commission, Ursula von der Leyen, has laid out a highly ambitious climate agenda. In her first 100 days in office, she intends to propose a European Green Deal, as well as legislation that would commit the European Union to becoming carbon neutral by 2050. Her immediate priority will be to step up efforts to reduce the EU’s greenhouse-gas emissions, with the aggressive new goal of halving them (relative to 1990 levels) by 2030. The issue now is how to make this huge transition politically and economically sustainable.
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Source: bruegel.org
Cash markets achieve turnover of 124.8 billion euros in July
August 1, 2019--Deutsche Börse's cash markets generated a turnover of €124.8 billion in July (previous year: €124.3 billion). Of the €124.8 billion, €112.1 billion were attributable to Xetra (previous year: €113.6 billion), bringing the average daily Xetra trading volume to €4.9 billion.
Trading volume on Börse Frankfurt was €2.9 billion (previous year: €2.9 billion) and on Tradegate Exchange €9.9 billion (previous year: €7.8 billion). By type of asset class, shares accounted for around €111.4 billion in the entire cash market. Trading in ETFs/ETCs/ETNs generated a turnover of €11.7 billion. Turnover in bonds was €0.5 billion, in certificates €1.1 billion and in funds €0.2 billion. The DAX and TecDAX stock with the highest turnover on Xetra in July was SAP SE with €6.1 billion. Commerzbank AG led the MDAX equities with €918 million, while Aixtron SE led the SDAX equity index with €339 million. In the ETF segment, the iShares Core DAX UCITS ETF generated the largest volume with €877 million.
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Source: Deutsche Börse Group
STOXX ESG Factor Indices licensed to UniCredit
July 30, 2019--STOXX Ltd., the operator of Deutsche Boerse Group's index business and a global provider of innovative and tradable index concepts, has licensed two indices to UniCredit: the EURO iSTOXX(R) ESG-X & Ex Nuclear Power Multi Factor Index and the EURO STOXX(R) ESG-X & Ex Nuclear Power Minimum Variance Unconstrained Index.
UniCredit is launching two exchange-traded funds (ETFs) on these indices today, which are listed in Frankfurt. The underlying indices are part of the Eurozone's first index family combining a factor strategy with environmental, social and governance (ESG) screens.
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Source: Deutsche Börse Group
New iShares ETF on Xetra: Access to Chinese bond market
July 30, 2019--A new iShares Exchange Traded Fund has been available for trading on Xetra and Börse Frankfurt since Tuesday.
The iShares China CNY Bond UCITS ETF USD (Dist) offers an investment in bonds issued by the Ministry of Finance of the People's Republic of China and Chinese banks.
Defaulted bonds are excluded. The yield is distributed.
Name:iShares China CNY Bond UCITS ETF USD (Dist)
Asset class: Bond ETF
ISIN: IE00BYPC1H27
Ongoing charges: 0.35 per cent
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Source: Deutsche Börse Cash Market
New Unicredit ETFs on Xetra: Combination of Strategy and Sustainability
July 30, 2019--Since Tuesday two new Exchange Traded Funds of UniCredit are tradable via Xetra and Börse Frankfurt.
With the two ETFs, investors can participate in the performance of companies from the EURO STOXX Index that meet sustainability criteria. The reference indexes use the ESG exclusion criteria of the data provider Sustainalytics, which are based on the principles of the United Nations Global Compact on human rights, labour rights, the environment, business ethics and anti-corruption.
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Source: Deutsche Börse Group
Europe's Mifid rules help to pump up the volume
July 29, 2019--Exchange Traded Funds have finally moved centre stage
The European market for exchange traded funds is still adjusting to a transformative event that could come to be seen as the making of it: the...
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Source FT.com
Mutual funds' liquidity problems highlight ETF advantages
July 29, 2019--Suspension of Woodford's £3.5bn fund has investors scouting for liquid alternatives
The crisis surrounding Britain's best-known stockpicker, Neil Woodford, has highlighted a concern individual investors had given very little regard to until now -the liquidity of their investment funds.
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Source: FT.com
Euro area economic and financial developments by institutional sector: first quarter of 2019
July 26, 2019--Euro area net saving was broadly unchanged at €793 billion in the four quarters to the first quarter of 2019. Euro area net non-financial investment increased to €523 billion (from €503 billion in the previous quarter), due to increased investments by households and non-financial corporations.
Euro area net lending to the rest of the world decreased to €280 billion (from €301 billion in the previous quarter).
The household debt-to-income ratio[1]continued to decrease, to 93.1% in the first quarter of 2019 from 93.5% in the first quarter of 2018. Non-financial corporation debt declined to 136.0% of GDP, from 137.1% one year ago.
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Source: ECB
Accumulating share classes of four Vanguard equity ETFs available on Xetra
July 25, 2019--Since Thursday, accumulating share classes of four Vanguard equity ETFs have also been tradable via Xetra and Börse Frankfurt. All four products are weighted by market capitalisation.
The Vanguard FTSE North America UCITS ETF (USD) Accumulating replicates US and Canadian large and mid cap companies in an optimised portfolio composition.
The Vanguard FTSE Developed Europe UCITS ETF (EUR) Accumulating and the Vanguard FTSE Developed Europe ex UK UCITS ETF (EUR) Accumulating offer an investment in the performance of large and medium-sized companies from European industrialised countries. The latter excludes companies located in the United Kingdom.
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Source: Deutsche Börse Cash Markets
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