Global ETF News Older than One Year
S&P: Turkey among most susceptible to emerging market risks
September 29, 2015--Turkey has been grouped among the countries most vulnerable to the global economic trends facing developing markets in recent years, the rating agency Standard & Poor's (S&P) noted on Tuesday.
In a recent report titled "Who's At Risk? Emerging Market Sovereigns Are Facing Adverse Global Trends," the agency said emerging economies are encountering the risk of contraction in the global economy as a result of expectations of a rate hike by the US Federal Reserve, a slowdown in Chinese economic growth and shrinkage in the volume of domestic loans.
Source: Today's Zaman
Market Liquidity Not in Decline, but Prone to Evaporate
September 29, 2015--Low interest rates have supported market liquidity
Changes in market structure make liquidity prone to evaporate in case of shocks
Policymakers need to monitor risks, prepare for normalization of monetary policy
The level of liquidity in financial markets-the ability to buy or sell a large quantity of a financial asset at a low cost in a short time-has not shown a marked decline in most asset classes; however, low interest rates may be masking an erosion of its underlying resilience, according to new research from the International Monetary Fund.
view MARKET LIQUIDITY-RESILIENT OR FLEETING?
Source: IMF
IMF Working paper-Getting the Dog to Bark : Disclosing Fiscal Risks from the Financial Sector
September 28, 2015--Summary: Fiscal reporting is intended to warn of fiscal crises while there is still time to prevent them. The recent crisis thus seems to reveal a failure of fiscal reporting: before the crisis, even reports on fiscal risk typically did not mention banks as a possible source of fiscal problems.
One reason for silence was that the risk arose partly from implicit guarantees, and governments may have feared that disclosure would increase moral hazard. The crisis cast doubt, however, on the effectiveness of silence in mitigating risks. This paper discusses how fiscal risks from the financial sector could be discussed in reports on fiscal risk, with a view to encouraging their mitigation.
Source: IMF
Global Financial Centres Index 18
September 28, 2015--London has moved ahead of New York to reclaim the number one position. London climbed 12 points in the ratings to lead New York by eight points. The GFCI is on a scale of 1,000 points and we believe that a lead of fewer than 20 points indicates relative parity.
London and New York are often as much complementary as competitive. It is noticeable that assessments for London have been higher since the general election in May 2015.
London, New York, Hong Kong, and Singapore remain the four leading global financial centres. New York (2nd) is now only 33 points ahead of Hong Kong (3rd). Tokyo (5th), is only 25 points behind the leading four centres.
view The Global Financial Centres Index 18
Source: Z/Yen Group Limited
IMF Survey-Adjusting to Lower Commodity Prices
Commodity Exporters Facing the Difficult Aftermath of the Boom
September 28, 2015--Commodity-exporting economies likely to slow further given weak commodity price outlook
Slowdown reflects in part lower growth in potential output
Structural reforms to boost growth potential, exchange rate flexibility policy priorities
With a weak outlook for commodity prices, particularly for energy and metals, growth in commodity-exporting emerging and developing economies could slow further over the next few years, says a new study.
Source: IMF
IOSCO Research reports on Corporate Bond Markets in Emerging Markets
September 25, 2015--The Research Department of the International Organization of Securities Commissions today published a Staff Working Paper entitled Corporate Bond Markets: An Emerging Market Perspective.
The report is the second in a series on Corporate Bond Markets. It presents findings from an in-depth study on the development and functioning of corporate bond markets in emerging markets specifically.
view the Corporate Bond Markets: An Emerging Markets perspective report
Source: IOSCO
China Europe eyes November launch date
The new market is backed by Deutsche Boerse and two Chinese exchanges
September 21, 2015--The China Europe International Exchange (CEINEX) will launch in November, initially supporting the cash
market, with initial products likely to include exchange-traded-funds and bonds, ahead of futures and derivatives in the second phase.
The exchange is a joint venture between Deutsche Boerse, the Shanghai Stock Exchange (SSE) and the China Financial Futures Exchange, and has the remit of supporting the internationalisation of the Chinese currency.
Source: fow.com
IMF-Monetary Policy and Financial Stability
September 21, 2015--Summary:The issue of using monetary policy for financial stability purposes is hotly contested. The crisis was a reminder that price stability is not sufficient for financial stability, financial crises are costly, and policy should aim to decrease the likelihood of crises, not only rely on dealing with their repercussions once they occur.
It is clear that well-targeted prudential policies (including micro and macroprudential regulation and supervision) should be pursued actively to attenuate the buildup of financial risks.
The question is whether monetary policy should be altered to contain financial stability risks. Should it lend a hand by temporarily raising interest rates more than warranted by price and output stability objectives? Keeping rates persistently higher is also possible, but more costly.
Source: IMF
Harmonisation of the Unique Transaction Identifier (UTI), consultative report issued by CPMI-IOSCO
August 19, 2015--The Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) have today published for public comment a consultative report entitled Harmonisation of the Unique Transaction Identifier (UTI).
G20 Leaders agreed in 2009 that all over-the-counter (OTC) derivatives contracts should be reported to trade repositories (TRs) as part of their commitment to reform OTC derivatives markets in order to improve transparency, mitigate systemic risk and protect against market abuse. Aggregation of the data reported across TRs is necessary to help ensure that authorities are able to obtain a comprehensive view of the OTC derivatives market and activity.
view the Harmonisation of the Unique Transaction Identifier report
Source: BIS
IOSCO publishes Report on Cross-Border Regulation
September 17, 2015--The International Organization of Securities Commissions (IOSCO) today published the final report of the IOSCO Task Force on Cross-Border Regulation (Task Force).
The International experience of regulators in developing and implementing cross-border regulations in globalized securities markets has highlighted the challenges they face in ensuring the effectiveness of domestic regulation, without unduly constraining the cross-border offering of financial services or products. In June 2013, IOSCO established the Task Force to assist policy-makers and regulators in addressing these challenges and to consider in detail cross-border regulatory issues.
view the IOSCO Task Force on Cross-Border Regulation Final Report
Source: IOSCO
