Europe ETP News Older Than 1 year-If your looking for specific news, using the search function will narrow down the results
Turkey: Recovery a chance to reinforce long-term economic growth, says OECD
September 15, 2010--Turkey’s economic growth is likely to be among the strongest of OECD countries in 2010, supported by financial stability, international investor confidence and a dynamic business sector, according to the OECD’s latest survey of the country.
After falling nearly 5% in 2009 in the wake of the global crisis, Turkey’s GDP is expected to expand by more than 6% this year. Unemployment is likely to fall markedly.
Presenting the survey in Ankara, OECD Secretary-General Angel Gurría said: “Turkey should build on the positive shock it produced by emerging from the crisis with a strengthened economy. It should now finish the job by completing the fiscal architecture to consolidate its credibility.”
He said the task also requires implementing a number of key reforms so that the entire business sector can benefit from the stronger economic environment.
But he added Turkey’s largest export markets, notably in Europe, remain fragile. Strong, sustained growth will depend on Turkey reducing further its economic vulnerabilities and stimulating labour productivity.
Addressing the weaknesses includes modernising how public finances are managed, says the survey. Plans for well thought out rules, transparency and comprehensive auditing must be pursued.
The survey also says the Turkish economy needs to move away from its dependence on undeclared and informal business. Although informality and semi-informality have helped Turkish firms maintain flexibility in a competitive international environment, they have become a trap as they slow down economic modernisation and productivity growth. Reducing informality is also crucial for improving public finances and distributing taxes more equitably.
The survey recommends reducing rigidities in the labour market to make the jobs market more flexible in areas such as severance pay, the minimum wage and temporary work.
view the Economic Survey of Turkey 2010
Source: OECD
REGIS-TR Fully Complies with New European Trade Repository Requirements
Sptember 15, 2010--BME and Clearstream welcome the details of the European Commission’s Market Infrastructure Regulation on trade repositories for OTC derivatives // Trade repository REGIS-TR fully complies with the new requirements // Flexible and transparent pricing scheme for financials and corporates // Efficiency gains through REGIS-TR expected to compensate customers for additional cost for regulatory compliance //Admission of third country applicants and details on timeline require further clarification
Bolsas y Mercados Espanoles (BME), the Spanish stock exchange operator, and Clearstream, the post trade arm of Deutsche Börse Group, welcome the published details on trade repositories for OTC derivatives that the European Commission has provided today in the context of the proposed European Market Infrastructure Regulation. There is need for clarification regarding the suggested design of the access for third country trade repository providers and the planned timeframe for implementation. BME and Clearstream will therefore continue their close dialogue with the Commission and other political stakeholders.
read more
Source: Clearstream
EU unveils crackdown on derivatives
September 15, 2010--The European Union has unveiled tough new rules to control derivative trading and restrict short-selling in response to the financial crisis.
The proposed rules, covering over-the-counter derivatives, will require standardized contracts to be cleared centrally for the first time
They will also require OTC contracts -- bilateral agreements between buyers and sellers -- to be reported to "trade repositories" or data banks, and for this information to be available to regulators.
The proposals follow agreement by G20 leaders last year to standardize derivative trading move them onto exchanges or electronic trading platforms where appropriate. The proposals will closely align the EU with the new regime which is coming into force in the US.
The new rules will need approval from member states and the European parliament, but the aim is to operate them from the end of 2012.
read more
Source: CNN
ICMA-ERC survey shows growth in European repo market to surpass pre-crisis levels.
September 15, 2010--The European Repo Council of the International Capital Market Association (ICMA) today released the results of its 19th semi-annual survey of the European repo market. The survey sets the baseline figure for market size at EUR 6,979 billion representing an increase of 25% on the figure of EUR 5,582 billion for the previous survey in December 2009.
This figure takes the size of the market above the previous highest figure of EUR 6,775 billion recorded in June 2007 before the financial crisis.
The results of the survey confirm the continuing recovery of the European repo market and the underlying trading activity that it supports. The survey is based on returns received from 57 offices of 52 financial groups, mostly banks, including most of the the largest European repo market participants. The aggregate figure for market size masks a very varied picture for participating institutions; some have emerged from the recent financial crisis with unimpaired balance sheets and have been able to exploit their strength in a market where many competitors have been forced to consolidate or even contract, and some have disappeared altogether. These institutions have consequently captured greater market share, as is evident in the growing degree of market concentration, 10 firms in the survey accounted for over 68% of the total repo business, well above the historical norm for the survey which started in June 2001.
view the ICMA European repo market survey June 2010
Source: European Repo Council of the International Capital Market Association (ICMA)
Investor confidence continues to drain from green funds
September 15, 2010--Green themed and norms-based European RI retail funds continued to suffer from a lack of investor confidence during June this year with sector assets down by €96m during the month, according to the latest available figures compiled for Responsible Investor by Lipper FMI, the investment data group.
That followed a slump of €373.9m during May and losses of €95.9m during April. The fund class, labelled by Lipper FMI as ‘RI Extended’, includes those with multiple ethical exclusions, those following a norms-based strategy and themed climate change and microfinance funds. Of those fund manager’s taking in money, highest grosser was French funds house OFI’s Trésor ISR fund, a cash fund, with new assets of €145.7m, including market appreciation.
read more
Source: Responsible Investor
Euronext-European ETF activity highlights for August 2010
September 14, 2010-- At the end of August, NYSE Euronext had 533 listings of 485 ETFs from 17 issuers. These ETFs cover more than 300 indices exposed to an extended range of assets and strategies (Equity, Fixed Income, Commodities, Short, Leverage, etc…).
The number of ETFs increased by 8% YTD compared to the end of 2009. So far this year, 46 new ETFs have been listed, while 8 ETFs have been the subject of mergers by absorption and 2 ETFs have been delisted.
Both the daily average number of trades and daily average turnover figures again showed solid YOY growth in August 2010. On average, there were 7 683 trades on a daily basis, representing an increase of 11.3% versus August 2009. Daily average turnover increased from €262.7 million in August 2009 to €297.4 million in August 2010, or 13.2%.
At the end of August, the combined Assets Under Management of all ETFs listed on the NYSE Euronext European markets totaled €118.1 billion, an increase of 23.86% from the €95.3 billion at the end of August 2009.
The combination of the flow of 21 first-class Liquidity Providers, competitive market makers, client orders and our high capacity, low latency technology contributed to a median spread of 28.89 bps of all listed ETFs, down from 35.47 bps in August 2009.
At the end of August 2010, NYSE Euronext’s Liquidity Providers program featured 21 Liquidity Providers that had a total of 1049 liquidity provision agreements, providing firm bid/ask quotes with minimum size and maximum spread requirements for the entire trading session on all ETFs.
Visit www.euronext.com/etf for more info.
Source: NYSE Euronext
Lyxor Lists 22 ETFs On NYSE Euronext In Brussels
September 14, 2010--Today, Lyxor lists 22 ETFs on NYSE Euronext in Brussels.
With these additional ETFs, NYSE Euronext Brussels offers to the investors a wide range of ETFs replicating bear- and bull -index performances based on the leading AEX, BEL 20 and CAC 40 indices as well as other equity and fixed income indices.
ETFs combine the diversification of investment funds while being traded real time like shares on the highly liquid and transparent single order book of NYSE Euronext European markets and without creation and redemption fees.
| ETF | ISIN | TER | Index |
| Lyxor ETF BEL 20 | FR0000021842 | 0,5 | BEL 20 |
| Lyxor ETF MSCI Emerging Markets | FR0010429068 | 0,65 | MSCI Emerging Markets |
| Lyxor ETF Russia (DJ RusIndex Titans 10) | FR0010326140 | 0,65 | Russia (DJ RusIndex Titans 10) |
| Lyxor ETF EURO STOXX 50® | FR0007054358 | 0,25 | EURO STOXX 50® |
| Lyxor ETF MSCI Europe | FR0010261198 | 0,35 | MSCI Europe |
| Lyxor ETF EuroMTS Global | FR0010028860 | 0,17 | EuroMTS Global |
| Lyxor ETF Commodities CRB | FR0010270033 | 0,35 | Commodities CRB |
| Lyxor ETF EURO STOXX 50 Daily Leverage® | FR0010468983 | 0,4 | EURO STOXX 50 Daily Leverage® |
| Lyxor ETF Leverage AEX | FR0010592006 | 0,4 | Leverage AEX |
| Lyxor ETF Short AEX | FR0010591354 | 0,4 | Short AEX |
| Lyxor ETF EuroMTS AAA Government Bond | FR0010820258 | 0,165 | EuroMTS AAA Government Bond |
| Lyxor ETF EuroMTS 1-3Y | FR0010222224 | 0,165 | EuroMTS 1-3Y |
| Lyxor ETF EuroMTS 3-5Y | FR0010037234 | 0,165 | EuroMTS 3-5Y |
| Lyxor ETF Brazil | FR0010408799 | 0,65 | Brazil |
| Lyxor ETF Leveraged DAX | LU0252634307 | 0,4 | Leveraged DAX |
| Lyxor ETF CAC | FR0007052782 | 0,25 | CAC |
| Lyxor ETF China Enterprise (HSCEI) | FR0010204081 | 0,65 | China Enterprise (HSCEI) |
| Lyxor ETF MSCI India | FR0010361683 | 0,85 | MSCI India |
| Lyxor ETF MSCI World | FR0010315770 | 0,45 | MSCI World |
| Lyxor ETF Xbear CAC 40 | FR0010411884 | 0,6 | Xbear CAC 40 |
| Lyxor ETF Leverage CAC 40 | FR0010592014 | 0,4 | Leverage CAC 40 |
| Lyxor ETF Xbear DJ Euro Stoxx 50 | FR0010424143 | 0,6 | Xbear DJ Euro Stoxx 50 |
| Lyxor ETF DAX | LU0252633754 | 0,15 | DAX |
Source: NYSE Euronext
European pension funds increasingly including ESG in RFPs – survey
September 14, 2010--Some 17% of requests for proposals by European pension funds in the first half of this year asked whether asset managers were signatories to the United Nations Principles for Responsible Investment, a survey by Aberdeen Asset Management has found.
The firm reckons this amounts to “40% of all equity RFPs and more than 80% of all RFPs containing any ESG [environmental, social and governance] criteria”. Aberdeen reckons funds are increasingly prepared to “shut out” managers who aren’t PRI signatories.
This would appear to be borne out by “mainstream” managers such as T. Rowe Price and Legal & General Investment Management signing up to the PRI recently.
In 2008 just over a quarter of equity RFPs asked specifically about ESG factors – that has now risen to 50% in the first half of 2010, Aberdeen added.
read more
Source: Responsible Investor
NASDAQ OMX Starts Trading in new ETFs from UBS
September 14, 2010--NASDAQ OMX today starts trading in a range of exchange traded funds (ETFs) from UBS. The now launched ETFs will track global and regional developed indexes and will be traded at NASDAQ OMX Stockholm. Additional ETFs from UBS have been registered for distribution in Sweden and will be available in due course.
Jenny Rosberg, Senior Vice President at NASDAQ OMX said, "UBS's entry into the Nordic ETF market will significantly strengthen NASDAQ OMX's offering to local as well as international investor communities. ETFs are becoming an increasingly popular instrument both among institutional and private investors, and since 2008 we have grown our number of listed ETFs more than seven times, today offering trading in more than 50 products."
Frank Müsel, Senior Product Manager of ETFs at UBS Global Asset Management, said, "We are delighted to be entering the Swedish ETF market at this early stage and thereby increase the ETF choice for Swedish investors. We are seeing increasing demand from investors across Europe for ETFs and are confident that this will also be the trend in Sweden."
UBS is the second foreign asset manager to list ETFs in Sweden. The new ETFs now issued by UBS track the following indexes:
UBS-ETF EURO STOXX 50 A
UBS-ETF MSCI World A
UBS-ETF MSCI Europe A
UBS-ETF MSCI Pacific (ex Japan) A
UBS-ETF MSCI USA A
UBS-ETF MSCI Japan A
Commerzbank will act as market maker to provide liquidity.
Source: NASDAQ OMX
Capital requirements: much work still to be done on new Basel standards
September 14, 2010--The new capital requirement standards agreed by the Basel Banking Committee on Sunday tackle some of the right issues, but need much more work to transpose them into laws that ensure a global level playing field, reduce risk and do not hamper economic growth, says an own-initiative resolution approved by Parliament's Economic Affairs Committee on Monday.
The resolution gives a foretaste of the position that Parliament could take later this year on the European Commission proposals to update the Capital Requirements Directive (CRD IV), which is to transpose the Basel standards into EU law.
"This is an awareness raising resolution. It sends a clear message that developing the Basel standards without proper preparation is not something acceptable", said author of the resolution Othmar Karas (EPP, AT) just before the vote. "A binding decision for Europe will only be reached when there is agreement between the Council and Parliament on the Commission's legislative proposals" he added.
The key points raised in the resolution are that:
there has been no cumulative impact assessment of the effect on banks of the new Basel standards, and all other regulations currently in force or under preparation,
no analysis has been undertaken of the effects on the real economy of the figures agreed in Basel. The Commission should produce a comprehensive assessment of the consequences of the new standards,
European specificities regarding corporate financing need to be taken into account in the Commission's legislative proposal. A "one size fits all approach" could stifle economic recovery,
the definition of what is to be considered as "capital" is still pending. The Commission must look closely at the eligibility criteria for core tier 1 capital when it draws up the CRD IV proposals,
read more
Source: European Parliament
If you are looking for a particuliar article and can not find it, please feel free to contact us for assistace.
