Lyxor-Monthly European ETF Market Trends September 2017
September 8, 2017--European ETF market flows slowed down substantially in August. Net New Assets (NNA) over the month totaled EUR3.2bn. Total ETF Assets under Management are up 13% vs. the end of 2016, reaching EUR585bn and including a positive market impact of 1%. Despite this slight weakness, 2017 is still on track to be a record year with EUR64.3bn of inflows as of end of August vs. EUR51.3bn until end of august 2015, the last record year.
Investors' attitude was more on the cautious side this month in a context of increasing geopolitical risk & receding inflation prospects.
Equity ETFs recorded lower inflows at EUR1.2bn. This can be partly explained by limited flows into both developed and emerging market equities. Most of these minor inflows were focused on stronger economies such as the US and German. EM equity ETFs gathered only EUR360M, just half of the 2017 average. Asia Pacific equity ETFs saw outflows of EUR160M as PM Abe and Japan's Abenomics continued to be challenged. Global ETF flows turned negative for the first time this year at -EUR37M in a more risk-off environment. Smart Beta ETFs flows also turned negative with a third consecutive month of decreasing flows at -EUR39M. Nevertheless, those outflows were mainly from Japanese Smart Beta ETFs; flows were still positive for Value & Momentum factor ETFs at EUR120M and EUR253M, respectively.
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Source: Lyxor
ECB-Monetary policy decisions
September 7, 2017--At today's meeting the Governing Council of the ECB decided that the interest rate on the main refinancing operations and the interest rates on the marginal lending facility and the deposit facility will remain unchanged at 0.00%, 0.25% and -0.40% respectively.
The Governing Council expects the key ECB interest rates to remain at their present levels for an extended period of time, and well past the horizon of the net asset purchases.
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Source: ECB
Franklin Templeton Investments to become new Smart Beta ETF issuer on Xetra
September 7, 2017--Franklin LibertySharesTM range gives investors access to Smart Beta ETFs
Four exchange traded funds issued by Franklin Templeton have been tradable on Xetra and Börse Frankfurt since Thursday.
The new ETFs allow European investors to participate in the performance of Franklin LibertyQ indices for the first time.
The composition of these indices is based on a weighting of four factors: quality, valuation, momentum and volatility. The underlying smart beta strategies represent an investment alternative to conventional indices weighted by market capitalisation.
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Source: Deutsche Börse Group
Franklin Templeton brings ETF business to UK market with quadruple launch-Franklin LibertyQ UCITS ETF range
September 7, 2017--Franklin Templeton has launched its ETF business in the UK market for the first time unveiling a smart-beta ETF suite under its brand, Franklin LibertyShares.
The $740bn asset manager has been listing ETFs in both the US and Canadian markets since 2016 under the LibertyShares brand, before deciding to bring its to Europe.
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Source: investmentweek.co.uk
Tradeweb European Exchange-Traded Funds Update-August 2017
September 7, 2017--The following data is derived from trading activity on the Tradeweb European-listed ETF platform.
ETF total traded volume
Notional volume executed on the Tradeweb European-listed ETF marketplace was just shy of €11.8 billion in August. The month also saw the addition of the 19th dealer posting axes to the platform.
Adriano Pace, managing director for equity derivatives at Tradeweb, said: "More than 11,000 live ETF axes are provided daily to Tradeweb by a constantly growing number of market makers. The Tradeweb axes functionality enables traders to select the most relevant dealers to put into competition for each trade, not only improving access to liquidity, but also resulting in meaningful pricing improvement."
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Source: Tradeweb
Euronext Posts Strong YoY Volumes in August
September 5, 2017-Euronext posts strong numbers on a YoY basis but a decline MoM.
Euronext, the first pan-European exchange, today announced its August 2017 trading volumes.
Volumes dipped when compared to last month but were generally flat or better on a year-on-year basis.
Euronext's average daily cash order value came in at $7,254 million (€6,045 million) which was 24.8 percent more than in August 2016 but down by 18.9 percent from July 2017.
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Source: financemagnates.com
METRO AG and Grand City Properties S.A. to be included in MDAX
September 5, 2017--Deutsche Börse reviews index composition/Changes to be effective as of 18 September 2017
On Tuesday, Deutsche Börse announced changes to its selection indices, which will become effective on 18 September 2017. The shares of METRO AG and Grand City Properties S.A. will be included in the MDAX index, which tracks the 50 largest and most liquid companies that follow DAX, and will replace the shares of Bilfinger SE and Rational AG.
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Source: Deutsche Börse Group
ULTUMUS-Inflation Expectation
September 5, 2017--Italy
Two ETFs for Lyxor in Milan: inflation expectations and Euro Stoxx 50
Lyxor will be cross listing two ETFs in Italy, one of which tracks inflation expectations; the other of which is a plain vanilla Euro Stoxx ETF.
The inflation expectations ETF (INFL), is a curiosity and takes a bit of a fiddle to get one's head around. INFL tracks inflation expectations by buying and holding inflation-linked bonds while shorting sovereign bonds...
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Source: ULTUMUS-Financial Data Management
National Statistics: UK official holdings of international reserves: August 2017
September 5, 2017--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: HM Treasury
Boerse Stuttgart reports August turnover in excess of EUR 6.1 billion
September 4, 2017--Trading volume of securitised derivatives and exchange-traded products well up on previous month
Based on the order book statistics, the total figure for turnover at Boerse Stuttgart in August 2017 was more than EUR 6.1 billion.
The biggest contribution was made by securitised derivatives.
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Source: Boerse Stuttgart
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