Global ETF News Older than One Year
Rising trading costs seen affecting investment strategies
January 19, 2015--The rising cost of trading is affecting investment strategies, says Mike O'Brien, director of global trading at Eaton Vance.
The trading cost for interest-rate swaps rose significantly last year because of central clearing and swap-execution facilities. As a result, swap futures have become more appropriate because they are more standardized and transparent and come with lower initial-margin requirements, he says.
Source: SmartBrief
Singapore approves Deutsche Boerse's clearinghouse plans
January 19, 2015--The Monetary Authority of Singapore has given "in principle" approval to Deutsche Boerse's plans to launch a
clearinghouse in the city-state next year.
Source: SmartBrief
Passive shift points to massive double down
January 19, 2015--Investors are likely to accelerate their move into indexed strategies as
criticism of active manager fees, and returns, hits unprecedented levels.
Source: Financial News
Beware the bias inherent in smart beta
January 19, 2015--Investors need to be aware that factor-based investing does not contain a magic formula that will
always conjure up better returns than their market capitalisation-based counterparts..
Source: Financial News
Africa: A Fresh Approach to Credit Ratings
January 19, 2015--Over the past few years there have been discussions amongst the BRICS (Brazil, Russia, India, China, South Africa) countries to open up their own rating agency that will compete with the "big three" credit rating agencies
-that is, Standard and Poor's (S&P), Moody's and the Fitch Group. S&P and Moody's are based in the US.
Source: AllAfrica.com
IMF-World Economic Outlook (WEO) Update Cross Currents
January 19, 2015--Global growth will receive a boost from lower oil prices, which reflect to an important extent higher supply. But this boost is projected to be more than offset by negative factors, including investment weakness as adjustment to diminished expectations about medium-term growth continues in many advanced and emerging market economies.
Global growth in 2015-16 is projected at 3.5 and 3.7 percent, downward revisions of 0.3 percent relative to the October 2014 World Economic Outlook (WEO). The revisions reflect a reassessment of prospects in China, Russia, the euro area, and Japan as well as weaker activity in some major oil exporters because of the sharp drop in oil prices. The United States is the only major economy for which growth projections have been raised.
view the IMF-World Economic Outlook (WEO) Update Cross Currents
Source: IMF
Richest 1% Will Own More Than All The Rest By 2016
January 18, 2015--The combined wealth of the world's richest 1 percent will overtake that of everyone else by next year given the current trend of rising inequality, warned relief and development organization Oxfam America today ahead of the annual World Economic Forum meeting in Davos.
In a new issue brief published today, Wealth: Having it all and wanting more, Oxfam outlines how the richest 1 percent of the world have seen their share of global wealth increase from 44 percent in 2009 to 48 percent in 2014, and will likely surpass 50 percent in 2016.
view the issue brief-Wealth: Having it all and wanting more
Source: OXFAM
Swiss shock spurs gold bid as ETP assets jump most since 2011
January 16, 2015--The Swiss central bank's surprise move to abandon the franc's cap against the euro sent investors rushing to gold as a haven from swings in currencies.
Assets in the SPDR Gold Trust, the biggest exchange-traded product backed by bullion, rose 1.4 percent to 717.15 metric tons on Jan. 15, the biggest jump since August 2011.
Source: MineWeb
DECPG Global Weekly-Taking Stock
January 16, 2015--Swiss central bank rattled markets. The Swiss National Bank (SNB) surprised financial markets on Thursday by scrapping its three-year policy of capping the Swiss franc against the euro and reducing the interest rate.
The franc appreciated more than 30 percent versus the euro in chaotic early trading, but it pared some of the gains later. The country's benchmark stock index plunged, amid concerns for the export-reliant Swiss economy, heading for its worst single-day loss
since 1989. Eastern European currencies slumped and banking stocks tumbled after the SNB's move fueled fears that individuals may struggle to repay loans denominated in Swiss francs.
Source: World Bank
IMF Commodity Prices-January 2015 Update
January 16, 2015--The Primary Commodity Price data are updated monthly and is now available.
Source: IMF
