Global ETF News Older than One Year
Overberg Asset Management-This week's bottom line...
June 10, 2015--The emerging markets displaying the weakest currency fundamentals include Brazil, SA and Turkey, dubbed the "Threatened Three".
Countries with high current account deficits are especially vulnerable.
Among emerging markets SA has the largest deficit measuring 5.1% of GDP in the fourth quarter last year.
On the last six occasions when the Fed started tightening interest rates portfolio capital inflows into emerging markets either diminished or reversed.
SA's vulnerability is increased by the scale of foreign ownership of its financial assets. SA's bond market has the highest level of foreign ownership out of all emerging markets with the sole exception of Indonesia.
Source: Overberg Asset Management
Success of Shanghai-Hong Kong Stock Connect Hinges on Removing Barriers to Participation-According to Study
June 10, 2015--Launched in November, this path-breaking initiative provides international investors with direct access to China's A shares market for the first time
Continued participation among investors, brokers and custodians is a key focus area to ensure program achieves its goals
Market participants need to ensure their post-trade systems and operations can scale up to meet increased volumes and that best practice is employed to minimize operational risk
download the whitepaper-Shanghai-Hong Kong Stock Connect: It's Just the Beginning
Source: DTCC
BP-Statistical Review of World Energy 2015
June 10, 2015--2014 in review
Global primary energy consumption decelerated sharply in 2014, even though global economic growth was similar to 2013
Consumption increased for all fuels, reaching record levels for every fuel type except nuclear power; production increased for all fuels except coal. For oil and natural gas, global consumption growth was weaker than production.
The data suggest that global CO2 emissions from energy grew at their slowest rate since 1998, other than in the immediate aftermath of the financial crisis.
Emerging economies accounted for all of the net growth in energy consumption, as they have on average over the past decade, although growth in these countries was well below its 10-year average. Chinese consumption growth was the slowest since 1998, yet China still recorded the world's largest increment in primary energy consumption for the fourteenth consecutive year. OECD consumption experienced a larger than average decline, with weakness in the EU and Japan offsetting above average growth in the US. Energy consumption in the EU fell to its lowest level since 1985.
Source: BP
World Bank-Developing Countries Face Tough Transition in 2015 with Higher Borrowing Costs and Lower Prices for Oil & Other Commodities
Impending rise in US interest rates could reduce capital flows, spur financial market volatility in developing countries
June 10, 2015--Developing countries face a series of tough challenges in 2015, including the looming prospect of higher borrowing costs as they adapt to a new era of low prices for oil and other key commodities, resulting in a fourth consecutive year of disappointing economic growth this year, says the World Bank Group's latest Global Economic Prospects (GEP) report, released today.
As a result, developing countries are now projected to grow by 4.4 percent this year, with a likely rise to 5.2 percent in 2016, and 5.4 percent in 2017.
view the June 2015 Global Economic Prospects-The Global Economy in Transition
view the infographic-Global Economy in Transition
Source: World Bank
State Street Names Michael Ho for Push Into Hedge Funds
June 10, 2015--Michael Ho, who heads active emerging market stock investing for State Street Corp.'s asset-management arm, will lead the unit's expansion into alternatives.
State Street Global Advisors named Ho to the newly created position of chief investment officer for alternatives, confirmed Brendan Paul, a spokesman for the Boston-based bank. Ho will oversee a team that will manage hedge fund strategies for institutions and intermediaries, Paul said.
Source: Bloomberg
First Bridge Data- 'ETF 20/20 Report' June 2015
June 10, 2015--Highlights
16 new launches including an innovative product that replicates exposure to spot VIX.
Index benchmark switches for 10 Invesco PowerShares ETFs.
The best & worst performing ETF categories and strategies.Assets for ETFs listed inthe US grew by $18B in May 2015 to $2.155T. As ofend May 2015, there were 1,714 ETPs listed in the US.
Source: First Bridge
Commodity markets braced for El Nino impact
June 10, 2015--Farmers and commodity investors around the world are braced for weather disruptions affecting harvests and markets as leading meteorological agencies have warned of a longer and stronger than expected El Niño phenomenon.
Japan's Meteorological Agency warned on Wednesday that the El Niño of 2015 is growing stronger and that its effects could last until the winter.
Source: FT.com
S&P lowers ratings of Barclays, Deutsche and RBS
June 10, 2015--Ratings agency Standard & Poor's downgraded several U.K. and German banks, including Deutsche Bank and Barclays, saying it considers government support for these banks to be uncertain.
The rating arm of McGraw Hill Financial downgraded Germany's Deutsche Bank and the U.K.'s Barclays and Royal Bank of Scotland to "stable" and Commerzbank to "negative".<>view more
Source: CNBC
London Stock Exchange Group and Haitong Securities sign Agreement
June 10, 2015--LSEG and Haitong Securities agree to wide ranging collaboration across trading, ETFs and IPOs
Further significant boost to growing ties between UK and China
Haitong Securities Chairman, Wang Kaiguo opens London trading London Stock Exchange Group (LSEG) today signed a memorandum of understanding (MoU) with Haitong Securities. The agreement was signed by London Stock Exchange plc CEO, Alexander Justham and Haitong Securities Chairman, Wang Kaiguo.
Source: London Stock Exchange Group
Investors dump junk exchange traded funds as bond turmoil spreads
June 10, 2015--Investors are accelerating their withdrawal of money from one of the riskiest areas of the US credit market, tracked by exchange traded funds, as global bond yields continue rising.
With US Treasury yields at their highest level since September, nearly $2bn has been pulled from two popular high-yield, or junk ETFs this month...
Source: FT.com
