Global ETF News Older than One Year
IMF-2018 External Sector Report: Tackling Global Imbalances amid Rising Trade Tensions
July 19, 2018--HIGHLIGHTS
The IMF's 2018 ESR shows that global current account balances stand at about 3¼ percent of global GDP. Of this, 40-50 percent are now deemed excessive, i.e. some countries are saving too much, and others are borrowing too much. And while global imbalances remain broadly unchanged in recent years, they have become increasingly concentrated in advanced economies.
From a global perspective, excess surpluses have been especially large and persistent in a small group of countries, most prominently in Germany and China, and to a lesser extent, in Korea, Netherlands, Sweden and Singapore. Excess deficits remain mainly in the United States and the United Kingdom, some euro area debtor countries, and a few vulnerable emerging market and developing economies (e.g. Argentina, Turkey).
This finding matters because persistent excess imbalances may become unsustainable, putting the global economy at risk and aggravating trade tensions.
view the IMF External Sector Report-Tackling Global Imbalances amid Rising Trade Tensions
Source: IMF
Tradeweb Sees Another Record Month and Quarter to Close Out the First Half of 2018
July 19, 2018--Global trading activity has continued to remain robust in 2018, with trading volumes on Tradeweb setting a new record in June at USD590bn ADV, a 45% increase from June 2017.
verage daily trading volume for Q2 was USD540bn, an increase of USD6bn per day compared to Q1's previous record. The increase in trading activity on the platform has been driven not only by a rise in overall market activity, but by the regulatory environment, continued electrification of markets and Tradeweb's expansion into new products and markets.
Source: Tradeweb
More than half of hedge funds now using AI technology
July 19, 2018--Hedge funds are using AI and machine learning for investment decisions, but only a quarter are using it for trade execution.
Over half of hedge funds are currently using artificial intelligence (AI) or machine learning technology to inform investment decisions and generate trading ideas, according to a survey.
Research services provider BarclayHedge found that hedge funds are now leaning towards AI technology for the investment process. Fifty-eight percent of hedge funds are now claiming it has been used for more than three years.
Source: Thetradenews.com
More than half of hedge funds now using AI technology
July 19, 2018--Hedge funds are using AI and machine learning for investment decisions, but only a quarter are using it for trade execution.
Over half of hedge funds are currently using artificial intelligence (AI) or machine learning technology to inform investment decisions and generate trading ideas, according to a survey.
Research services provider BarclayHedge found that hedge funds are now leaning towards AI technology for the investment process. Fifty-eight percent of hedge funds are now claiming it has been used for more than three years.
Source: thetradenews.com
Buy-side research usage after MiFID II
July 18, 2018--Analysis of buy-side research consumption in the six months since MiFID II has revealed some interesting trends as large and medium-sized firms adapt to the new unbundling rules in the European directive.
Thomson Reuters has analyzed research readership and entitlements data from 50 large and medium-sized buy-side firms to help identify changes in usage.
The number of research providers used by buy-side firms in the UK has fallen dramatically since January, but less so in continental Europe.
In the U.S. and Asia, the decline in research providers used is far more subdued, but there is evidence to suggest that firms are adopting MiFID II research unbundling.
The buy-side research market entered a new era in January when MiFID II came into force across the EU, requiring buy-side firms to separate payments for research from trading commissions.
Source: JDSpura
The Eurekahedge Report-July 2018
July 17, 2018--Highlights from this month's report
Hedge funds were down 0.34% in June with 1H 2018 returns barely hanging in the green with a flat 0.08% gain year-to-date. This would be the weakest first half performance of hedge funds on record since 2000. To contextualise, the strongest gain occurred in 1H 2009 when hedge funds gained 10.62% while the next weakest 1H performance came in 1H 2010 when managers posted gains of 0.91%.
Total hedge fund assets grew by US$8.8 billion over the past six months, which compares with a growth in total AUM of US$98.5 billion over the same period last year.
Rising US-China trade war tensions and a strengthening US dollar have spelled trouble for Asian hedge fund managers in 1H 2018. Greater China focused mandates are down 0.44%, though outperforming the Shanghai and Shenzhen composites by well over 10%. Korea mandated hedge funds are down 4.21% over the same period, ahead of the Kospi Index which is down 5.73%. Meanwhile India mandated hedge funds have struggled with losses of 5.26%, underperforming the BSE Sensex Index by 9.27% in the first half of 2018.
view the European Hedge Funds Infographic July 2018
Source: Eurekahedge
FSB report sets out framework to monitor crypto-asset markets
July 16, 2018--The Financial Stability Board (FSB) today published a report delivered to the G20 Finance Ministers and Central Bank Governors on the work of the FSB and standard-setting bodies on crypto-assets.
For its part, the FSB has developed a framework, in collaboration with Committee on Payments and Market Infrastructures (CPMI), to monitor the financial stability implications of developments in crypto-asset markets.
The report published today sets out the metrics that the FSB will use to monitor crypto-asset markets as part of its ongoing assessment of vulnerabilities in the financial system.
While the FSB believes that crypto-assets do not pose a material risk to global financial stability at this time, it recognises the need for vigilant monitoring in light of the speed of market developments.
Source: FSB
OECD economic scenarios to 2060 illustrate the long-run benefits of structural reforms
July 13, 2018--Policy choices made today can have important positive effects on future living standards, according to new long-term economic scenarios released by the OECD.
The Long View: Scenarios for the World Economy to 2060 extends the usual short-run horizon of economic forecasters to better illustrate the potential benefits of reforms to education, governance, labour market policies and product market regulations, whose effects play out over decades.
In a "business-as-usual" reference scenario without significant reforms, living standards (GDP per capita) in the OECD countries improve by between 1½ and 2% per annum over the coming 40 years. Living standards in the BRIICS countries (Brazil, Russia, India, Indonesia, China and South Africa) grow faster, but decelerate from the 6% annual growth achieved over the last decade to just over 2% by 2060, leaving them at less than half the level seen in the leading countries.
view the OECD paper-The Long View: Scenarios for the world economy to 2060
Source: OECD
DECPG Global Weekly
July 13, 2018--TAKING STOCK
U.S. producer and consumer price inflation picked up in June
The U.S. government announced a new round of tariffs on Chinese products
Euro Area industrial output rebounded in May; investor confidence improved in July
China's inflation rose in June; export growth remained solid
EMDE bond sales fell sharply in June.
U.S. producer and consumer price inflation picked up in June. The U.S. headline producer price index (PPI) rose from 3.1 percent (y/y) in May to 3.4 percent in June, the largest increase since June 2011, as rising fuel prices pushed up the cost of services (Figure 1). The core PPI-which excludes food, energy, and trade services-was up 2.7 percent (y/y), from 2.6 percent in May. The headline consumer price index (CPI) rose to 2.9 percent (y/y) in June, the highest level since February 2012, from 2.8 percent in May, while the core CPI edged up to 2.3 percent from 2.2 percent in May.
Source: World Bank
ETFGI reports ETFs and ETPs listed globally gathered net inflows of US$8.69 billion during June 2018
July 13, 2018--ETFGI, a leading independent research and consultancy firm covering trends in the global ETF/ETP ecosystem, reported today that ETFs and ETPs listed globally gathered US$8.69Bn in net inflows, the lowest monthly amount since January 2014 when the global ETF/ETP industry experienced net outflows of US$6.25Bn, according to ETFGI's June 2018 Global ETF and ETP industry landscape insights report, an annual paid-for research subscription service. (All dollar values in USD unless otherwise noted.)
Highlights
Net new assets gathered by ETFs/ETPs listed globally were $8.69Bn in June
53rd month of consecutive net inflows into ETFs/ETPs listed globally
442 new ETFs/ETPs have been listed in the first half of 2018, which is greater than the 408 new ETFs/ETPs in H1 2017
Source: ETFGI
