ESMA publishes final guidelines on MiFID II suitability requirements
September 23, 2022-The European Securities and Markets Authority (ESMA), the EU's Securities Markets Regulator, has published its Final Report on Guidelines on certain aspects of the MiFID II suitability requirements].
The assessment of suitability is one of the most important requirements for investor protection in the MiFID framework.
It applies to the provision of any type of investment advice, whether independent or not, and to portfolio management.
The main amendments introduced to the MIFID II Delegated Regulation and reflected in the guidelines on the topic of sustainability are:
Information to clients on the sustainability preferences-Firms will need to help clients understand the concept of sustainability preferences and explain the difference between products with and without sustainability features in a clear manner and avoiding technical language;
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Source: ESMA
Official Statistics: Forecasts for the UK economy: September 2022
September 21, 2022--A comparison of independent forecasts for the UK economy in September 2022.
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Source: gov.uk
New equity ETF from iShares on Xetra: access to sustainable companies from the S&P 500 Index with best-in-class approach
September 16, 2022--A new exchange-traded fund from iShares has been tradable on Xetra and via the Frankfurt Stock Exchange trading venue since Friday.
The iShares S&P 500 ESG UCITS ETF offers exposure to US companies from the S&P 500 Index that have a particularly high ESG rating in the areas of environmental protection, social responsibility and corporate governance compared to their peers.
The best-in-class approach is used for selection in order to achieve a similar sector group weighting as in the parent index. The index is weighted by market capitalisation.
Companies with a poor ESG score or those with business activities in areas such as tobacco, thermal coal, or controversial weapons are excluded.
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Source: Xetra
New equity ETF from iShares on Xetra: access to sustainable companies from the S&P 500 Index with best-in-class approach
September 16, 2022--A new exchange-traded fund from iShares has been tradable on Xetra and via the Frankfurt Stock Exchange trading venue since Friday.
The iShares S&P 500 ESG UCITS ETF offers exposure to US companies from the S&P 500 Index that have a particularly high ESG rating in the areas of environmental protection, social responsibility and corporate governance compared to their peers.
The best-in-class approach is used for selection in order to achieve a similar sector group weighting as in the parent index. The index is weighted by market capitalisation.
Companies with a poor ESG score or those with business activities in areas such as tobacco, thermal coal, or controversial weapons are excluded.
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Source: Xetra
WisdomTree Expands Thematic Range with a Blockchain UCITS ETF
September 14, 2022--The ETF aims to provide pure access to companies primarily focused on blockchain and cryptocurrency technologies
WisdomTree, an exchange-traded fund ("ETF") and exchange-traded product ("ETP") sponsor, has announced the launch of WisdomTree Blockchain UCITS ETF (WBLK). Listed on the London Stock Exchange, Börse Xetra and Borsa Italiana,
WBLK seeks to track the price and yield performance, before fees and expenses, of the WisdomTree Blockchain UCITS Index (the "Index") and has a total expense ratio of 0.45%.
The proprietary Index leverages WisdomTree’s heritage of innovation and self-indexing and is designed to track the performance of companies primarily focused on blockchain and cryptocurrency technologies and that also meet WisdomTree's ESG1 criteria.
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Source: ir.wisdomtree.com
Irish regulator may be open to reviewing ETF disclosure rules, says lawyer
September 14, 2022--Relaxing stance requiring daily holdings reporting would boost growth of active ETFs
The Central Bank of Ireland is considering reviewing its requirement for exchange traded funds to fully disclose their daily holdings, according to a lawyer, in a move seen as key to the growth of actively managed ETFs.
Stephen Carson, partner in the asset management and investment funds group at A&L Goodbody, said the CBI had "expressed a desire to engage with market participants and to review the requirement".
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Source: ft.com
New Equity ETF from Amundi on Xetra: access to Japanese Companies in Compliance with Climate Regulation
September 13, 2022--A new exchange-traded fund from Amundi Asset Management has been tradable on Xetra and via the Frankfurt Stock Exchange trading venue since Tuesday.
The Amundi Index MSCI Japan ESG Broad CTB UCITS ETF invests in Japanese companies with large and medium market capitalization whose products have no negative social or environmental impact
The selection and weighting of the individual companies is made with the aim of meeting the minimum requirements of the EU Climate Transition Benchmark (EU CTB) Regulation. Compared to the MSCI Japan Index, the carbon footprint is to be reduced by at least 20%.
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Source: Xetra
New themed ETF from WisdomTree on Xetra: companies focused on blockchain and cryptocurrency technologies
September 13, 2022--A new exchange-traded fund from WisdomTree has been tradable on Xetra and Börse Frankfurt since Tuesday.
With the WisdomTree Blockchain UCITS ETF, investors have the opportunity to participate in the performance of companies that are primarily involved in blockchain and cryptocurrency technologies.
The index categorizes companies into two classes: on the one hand, companies that develop components for blockchain ecosystems, and on the other hand, companies that provide services or applications for blockchain and cryptocurrencies.
The fund excludes companies based on environmental, social and governance criteria.
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Source: Xetra
Xtrackers by DWS Launches Three More ETFs Tracking Solactive Net Zero Index Series
September 13, 2022--ESG has been gaining momentum and investors have been increasingly considering aligning their decisions with those values. After launching two net-zero ETFs tracking Solactive's indices in March, Xtrackers completed the net zero index range with three more ETFs tracking the Solactive ISS ESG Net Zero Pathway Index Series.
The new products-Xtrackers USA Net Zero Pathway Paris Aligned UCITS ETF (XNUS), Xtrackers Europe Net Zero Pathway Paris Aligned UCITS ETF (XEPA), and Xtrackers Japan Net Zero Pathway Paris Aligned UCITS ETF (XNJP)- offer exposure to companies domiciled in industrialized countries respectively in the USA, Europe, or Japan.
The Solactive ISS ESG Net Zero Pathway Index Series focuses on large and medium-sized companies and aims to represent multiple segments of the global stock market complying with the regulations of the EU Paris-Aligned Benchmarks (EU PAB) as regards the minimum standards for EU Climate Transition Benchmarks and EU Paris-aligned Benchmarks. The indices provide a 50% reduction in carbon intensity versus an equivalent non-ESG market benchmark, and a 7% year-on-year ongoing decarbonization pathway.
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Source: Solactive AG
New ETNs and ETCs from Leverage Shares on Xetra: Leveraged Long and Short Investments on Global Single Companies, Countries, Sectors and Commodities
September 13, 2022--Since Tuesday, six Exchange Traded Commodities and 35 Exchange Traded Notes of Leverage Shares are tradable on Xetra and via Börse Frankfurt for the first time.
The comprehensive overall offering focuses on the long and short performance of global individual equities, equity portfolios from selected countries and sectors and, for the first time, individual commodities using various leverage factors. Leverage Shares is thus expanding its offering from 87 to a total of 128 products.
With the ETNs, investors have the opportunity, for example, to invest in the performance of the 500 largest US companies or the 40 largest German companies, or to focus on individual stocks such as Alibaba, Microsoft or Siemens. Individual commodities include gold, silver and oil.
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Source: Xetra
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