Global ETF News Older than One Year
Three reasons high yield bond ETFs are failing to deliver market returns
August 21, 2017--April 2017 saw the 10-year anniversary of the largest US high yield bond ETF, which delivered total returns of 70.8% or 5.5% per annum over the period.
While those returns appear reasonable at first glance, Stephen Baines, co-manager of the Kames Short Dated High Yield Global Bond Fund, says they 'look somewhat disappointing' when compared to the broad high yield market[1], which returned 105% cumulative (7.4% per annum) over the same timeframe.
Source: investmenteurope.net
Invesco completes acquisition of ETF firm Source
August 21, 2017--US asset management group Invesco has announced the completion of the acquisition of exchange traded funds (ETF) firm Source.
The purchase, which was announced in April, will bring Invesco a wider range of funds in order to provide its clients an increased offer to reach their financial goals.
Source: investmenteurope.net
HSBC PB appoints global head of active, passive funds
August 21, 2017--HSBC Private Banking has appointed London-based Sai Tampi as global head of Funds and Exchange Traded Frunds.
The role involves responsibility for the development and distribution of funds and ETFs, to clients globally, as well as managing global fund selection. He will also lead the Global Fund Selection team.
Source: investmenteurope.net
ULTUMUS-Global ETF Monitor-Libor ETFs
August 18, 2017-There really is an ETF for everything.
Libor, the major global interest rate benchmark, was discredited in 2012 by a manipulation scandal, which climaxed with then-Barclays CEO Bob Diamond resigning. The legal fallout continues to date
Nonetheless, there is a new ETN aiming to track Libor...
Europe
Things are a bit easier in Europe.
In Switzerland, db x-trackers will be cross-listing a developing countries bond ETF, the Emerging Sovereigns Quality Weighted ETF (XQUE)...
Source: ULTUMUS-Financial Data Management
Prices for success
August 18, 2017--As the global financial industry moves to more rigid regulations, investors are now required to provide daily (or more frequent) values for all fixed income securities.
This market dynamic has been further propelled by the rise of risk-based management tools, such as Value at Risk (VaR), which are based on constantly updating the prices of the individual components of investment portfolios, some of which include securities that are illiquid and rarely traded.
Source: Bloomberg
Ark Invest-The Robots Are Coming...To Help You
August 17, 2017--Based on our analysis, the robotics industry will be much larger than most experts anticipate, but it will not drive the unemployment rate up.
Collaborative robots have become a disruptive force in the traditional industrial robots industry, and will turbocharge the demand for robots to levels far beyond current expectations. Historically, and to the surprise of many, robots have not limited employment in industries that have automated. ARK anticipates that the introduction of collaborative robots, which have a lower sticker price and are easier to train, will expand the market for robots significantly, without destroying jobs.
Source: Harvest.com
The Finance Franchise paper
August 17, 2017--The finance franchise. A new paper busts the myth of private money.
Written By: Robert C. Hockett & Saule T. Omarova
ULTUMUS-Global ETF Monitor-Rise of the Robots-Artificial Intelligence ETFs that track more than the FAANGs
August 16, 2017--The rise of AI always draws strong reactions.
To some, it summons the apocalypse imagined in Terminator, where humanity fails to be modest and is superseded by machines.
To others, it promises a post-work paradise where computers toil while humanity idles, as in Wall-E.
But for ETFs and their issuers the concern is a lot more mundane: how do investors make money from it?
For most asset managers the answer has been simple: invest in the FAANGs (Facebook, Amazon, Apple, Netflix, Google)...
Source: ULTUMUS-Financial Data Management
Goldman expands algorithmic corporate bond trading
August 16, 2017--Focus on automating smaller-size trades to cut costs and free up dealers for bigger transactions
Source: FT.com
Emerging-market assets "increasingly influenced" by ETF investors-Citi
August 16, 2017--Investors in exchange-traded funds have garnered increasing sway over emerging-market stocks and bonds, Citigroup said this week, underscoring the swelling importance to global markets of passive instruments.
ETFs that track EM assets now have almost $250bn dollars under management, with $196bn in equities and $48bn in fixed income, according to the US bank's calculations.
Source: FT.com
