Global ETF News Older than One Year
Debt Stocks of Developing Countries Rose to $7.8 Trillion in 2018: World Bank International Debt Statistics
October 2, 2019--Net Debt Flows Fell 28% to $529 Billion; Debt Burdens Rising
Total external debt of low- and middle-income countries climbed 5.3 percent to $7.8 trillion last year, while net debt flows (gross disbursements minus principal payments) from external creditors tumbled 28 percent to $529 billion, the World Bank's International Debt Statistics 2020 shows.
Although on average the external debt burden of low- and middle-income countries was moderate, several countries have been on a deteriorating debt trajectory since 2009, the report indicates. The share of low- and middle-income countries with debt-to-GNI ratios below 30 percent has shrunk to 25 percent, down from 42 percent ten years ago. Similarly, the share of countries with high debt-to-export ratios has climbed.
Source: World Bank
IOSCO publishes Framework to help members enhance investor education initiatives
September 30, 2019--The Board of the International Organization of Securities Commissions today published the Core Competencies Framework on Financial Literacy to assist members, investor education providers and other stakeholders in their efforts to develop and implement investor education initiatives.
The Framework provides guidance to users on the content of investor education programs and indicates which areas could be assessed as part of an evaluation strategy.
The objective of the Framework is to better prepare investors to navigate an increasingly complex investing environment. It seeks to equip investors with core competencies that enable them to make informed decisions about how to diversify investments, reduce risk or choose suitable investments, among other things.
view The Core Competencies Framework on Financial Literacy
Source: IOSCO
FTSE Russell scraps 'non-renewable energy' label
September 30, 2019--Move seen as step back in efforts to steer investment toward cleaner forms of energy.
Source: FT.com
IOSCO reviews member efforts to deter mis-selling of complex financial products
September 26, 2019--IOSCO today published a Thematic Review report (Report) indicating that most of the participating jurisdictions have implemented the necessary rules aimed at preventing the mis-selling of complex financial products, consistent with IOSCO standards.
The Thematic Review was conducted by the IOSCO Assessment Committee (AC), with the participation of 29 IOSCO members from both developed and emerging market jurisdictions.
A Thematic Review offers a snapshot of implementation of IOSCO Principles, which enables the AC to identify gaps in implementation and examples of good practice.
Source: IOSCO
Global debt surges to highest level in peacetime
September 24, 2019--World's major economies have debts on average of more than 70% of GDP.
Source: FT.com
Markets swing on trade and monetary policy: BIS Quarterly Review
September 22, 2019--Trade and monetary policy dominated market developments during the last quarter, with the prices of risky assets falling on escalating trade tensions and rebounding on monetary easing.
The prospect of higher trade tariffs reversed the early-year rally in equity and credit markets. Central banks' willingness to loosen monetary policy contributed to a recovery, but this was short-lived as a renewed focus on trade and weakening economic activity kindled risk aversion. Amid this uncertainty, yield curves in major economies inverted in August, which was seen in some quarters as signalling a growing risk of recession. However, other indicators painted a more mixed picture.
Source: BIS
IMF Working Paper-More Gray, More Volatile? Aging and (Optimal) Monetary Policy
September 20, 2019--Summary:
The evidence on the inflation impact of aging is mixed, and there is no evidence regarding the volatility of inflation. Based on advanced economies' data and a DSGE-OLG model, we find that aging leads to downward pressure on inflation and higher inflation volatility.
Our paper is also the first, using this framework, to discuss how aging affects the transmission channels of monetary policy. We are also the first to examine aging and optimal central bank policies. As aging redistributes wealth among generations and the labor force becomes more scarce, our model suggests that aging makes monetary policy less effective and in more gray societies central banks should react more strongly to nominal variables.
view the IMF Working Paper-More Gray, More Volatile? Aging and (Optimal) Monetary Policy
Source: IMF
Taxes on polluting fuels are too low to encourage a shift to low-carbon alternatives
September 20, 2019--Taxing polluting sources of energy is an effective way to curb emissions that harm the planet and human health, and the income generated can be used to ease the low-carbon transition for vulnerable households. Yet 70% of energy-related CO2 emissions from advanced and emerging economies are entirely untaxed, offering little incentive to move to cleaner energy, according to a new OECD report.
As world leaders gather for a UN Summit on climate change amid mounting public pressure for action, a preview of Taxing Energy Use 2019 shows that for 44 countries accounting for over 80% of energy emissions, taxes on polluting sources of energy are not set anywhere near the levels needed to reduce the risks and impacts of climate change and air pollution.
Source: OECD
Digital Currencies: The Rise of Stablecoins
September 19, 2019--A battle is raging for your wallet. New entrants want to occupy the space once used by paper bills or your debit card.
The adoption of new, digital payment methods could bring significant benefits to customers and society: improved efficiency, greater competition, broader financial inclusion, and more innovation. But it could invite risks to financial stability and integrity, monetary policy effectiveness, and competition standards, as outlined in a recent IMF staff paper, the first of a new series of Fintech Notes.
Source: IMF
Long Finance-Global Financial Centres Index 26
September 19, 2019--London hung onto its second place ranking in the Global Financial Centres Index 26, launched today by Z/Yen Group in partnership with the China Development Institute (CDI) in both London and Shenzhen.
New York extended its lead over London to 17 points. Strong performances from other centres, in particular Paris, put London's second place in the index at risk next time.
If London and Paris have similar falls and rises in the ratings for GFCI 27, London would be reduced to a two point lead over Paris and lie behind Shanghai.
The new FinTech index, published for the first time alongside the GFCI, is dominated by Chinese centres taking five of the top seven places in the index, led by Beijing and Shanghai. New York, London, Singapore, San Francisco, and Chicago also feature in the top ten for FinTech.
Source: Long Finance
