Global ETF News Older than One Year
Infographic-The Top 10 Emerging Technologies of 2016
July 19, 2016--Sometimes the world is not yet ready for a new technology to enter the fray.
Virtual reality, for example, sat on the sidelines for many years. The industry went into hibernation around the time of the Dot Com Bust, and it has only recently re-emerged with promise.
Source: visualcapitalist.com
WEF-New Report: Mining Sector Can Help Achieve Sustainable Development Goals
July 19, 2016--Report will help the industry to map its roles, responsibilities and opportunities across the 17 Sustainable Development Goals
Pioneering atlas demonstrates how the mining industry can ensure that social and economic benefits of mining are widely shared and environmental impact minimized
The report maps the relationship between mining and the SDGs by using examples of good practice in the industry and existing knowledge and resources in sustainable development
Large-scale mining has the potential to play a critical role in helping to achieve the Sustainable Development Goals (SDGs) in resource-rich countries, according to a new report published today on the occasion of the UN High-Level Political Forum in New York. The report, Mapping Mining to the Sustainable Development Goals: An Atlas, is a joint effort of the United Nations Development Programme, the World Economic Forum, the Columbia Center on Sustainable Investment and the Sustainable Development Solutions Network.
Source: WEF(World Economic Forum)
IMF Cuts Global Growth Forecasts on Brexit, Warns of Risks to Outlook
July 19, 2016--Brexit causes "substantial' increase in economic, political, institutional uncertainty
Global forecast for 2017 cut by 0.1 percentage point, to 3.4 percent
If not for Brexit, global forecast would have been slightly higher
The International Monetary Fund cut its forecasts for global economic growth this year and next as the unexpected U.K. vote to leave the European Union creates a wave of uncertainty amid already-fragile business and consumer confidence.
view the World Economic Outlook-Uncertainty in the Aftermath of the U.K. Referendum
Source:IMF
Industry increasingly questions ETF liquidity
July 18, 2016--Exchange-traded funds' low fees and liquidity have traditionally been their greatest selling points, but industry experts are questioning how ETFs can be more liquid than their underlying portfolios.
The ETF industry is not prepared for a rapid exit by investors.
Source: Investmentnews.com
Bond ETF funds attract $124bn this year
July 15, 2016--Yield-hungry investors buoyed by the prospects of further monetary easing have invested $124bn in bond exchange traded funds globally this year.
Brexit has meant interest rates are expected to be lower for longer, forcing investors to search for safe assets with a non-negative yield, creating massive demand for bonds that has pushed sovereign debt yields to new lows.
Source: newsoninvest.com
BlackRock Addressing Market Liquidity
July 15, 2016--Post-Crisis, the fixed income markets have adapted to changes due at least in part to regulatory reforms intended to enhance the safety and soundness of the global financial system.
Monetary policy, record new issuance, and financial regulatory reform have contributed to reduced dealer inventories and lower bond turnover. Issuers have been motivated by historically low interest rates to issue new debt in record amounts, which means that there are now many more bonds in the bond market.
Source: BlackRock
IEA releases Oil Market Report for July
July 13, 2016--Record pumping rates in the Middle East and recovering flows in Nigeria consolidate OPEC market share
Global oil supplies rose by 0.6 mb/d in June, to 96 mb/d, after outages curbed OPEC and non-OPEC supplies in May, while production was 750 kb/d below as higher OPEC output only partially offset non-OPEC declines, the newly released IEA Oil Market Report (OMR) for July informs subscribers. Non-OPEC supplies are set to decline by 0.9 mb/d in 2016, to 56.5 mb/d, before rising 0.2 mb/d in 2017.
Source: IEA
Infographic-The Volatile History of Crude Oil Markets
July 13, 2016--Crude oil is the world's most actively traded commodity, and oil-related trades are a staple for traders, hedgers, investors around the globe.
Source: visualcapitalist.com
ETF flows down by 20% as investors flee equities
July 12, 2016--Inflows to equity ETFs fell by 85% year-on-year in the first half, as investors shunned risk assets in favour of fixed income securities during a year of political and economic turmoil.
In the six months to the end of June 2016, global net new assets to equity ETFs reached $15 billion, according to research firm ETFGI.
IMF Working paper-The Dynamics of Sovereign Debt Crises and Bailouts
July 12, 2016--Summary: Motivated by the recent European debt crisis, this paper investigates the scope for a bailout guarantee in a sovereign debt crisis.
Defaults may arise from negative income shocks, government impatience or a a "sunspot"-coordinated buyers strike. We introduce a bailout agency, and characterize the minimal actuarially fair intervention that guarantees the no-buyers-strike fundamental equilibrium, relying on the market for residual financing. The intervention makes it cheaper for governments to borrow, inducing them borrow more, leaving default probabilities possibly rather unchanged. The maximal backstop will be pulled precisely when fundamentals worsen.
Source: IMF
