Global ETF News Older than One Year
$781 Billion in Global ETP AUM Based on Indices Published by S&P Dow Jones Indices
Represents Nearly 20% Increase in AUM over 2013
606 ETPs linked to S&P DJI Indices as of December 12, 2014
Augmented factor-based index family through the launch of 27 new headline factor indices
December 18, 2014--S&P Dow Jones Indices ("S&P DJI"), announced today that as of December 12, 2014, the assets under management (AUM) of exchange traded products (ETPs) based on its indices has reached $781 billion, representing a 20% increase over 2013 and a 31% market share--more than twice as much as the next index provider.
More assets are invested in ETPs (ETFs + ETNs) based upon indices calculated and published by S&P DJI than any other index provider in the world.
Source: S&P Dow Jones Indices
Review of the trading book: consultative document on remaining issues published by the Basel Committee
December 19, 2014--The Basel Committee on Banking Supervision has today issued a consultative paper on outstanding issues for its fundamental review of the trading book capital standards.
In undertaking its review, the Committee's goal is to improve trading book capital requirements and to promote consistent implementation of the rules so that they produce comparable levels of capital across jurisdictions.
Today's consultative paper sets out a limited set of revisions to the Basel Committee's proposed market risk framework, which was published in October 2013. That second consultative proposal put forward a revised market risk framework to address weaknesses in risk measurement under the current framework's internal models-based and standardised approaches.
Source: BIS
ETFs tracking FTSE China A50 Index Reach Milestones
iShares FTSE A50 China Index ETF hits $10bn AUM on tenth anniversary
CSOP FTSE China A50 ETF has over $5bn AUM
Over $24bn now tracking FTSE China Index Series
December 19, 2014--FTSE Group ("FTSE"), the global index provider, is pleased to announce that two ETFs tracking the FTSE China A50 Index have reached major milestones.
The first ETF to track the leading regional benchmark, the iShares FTSE A50 China Index ETF, has reached $10bn (USD) of assets under management (AUM) on its tenth anniversary. Similarly the CSOP FTSE China A50 ETF now has over $5bn (USD) AUM linked to the index, as at 5 December.
Source: FTSE
DECPG Weekly Economic Brief--December 19, 2014
December 19, 2014--Oil prices fell to less than $60/barrel in mid-December 2014, reaching their lowest level in five years, bringing the cumulative fall in line with that of other commodity prices compared to their early 2011 peaks.
Although low oil prices will have a marked impact on a number of oil producers, their effect on oil importers will be diffused. Yet, low oil prices offer an opportunity for energy reform.
Source: World Bank
Northern Trust Monthly Funds Market Review: Record high for UCITS and non-UCITS assets|Time for a regulatory pause, says EFAMA
December 18, 2014--This month's highlights include:
Record high for UCITS and non-UCITS assets, says EFAMA
IFIA announces record net assets in Irish funds
EFAMA: time for a regulatory pause
Passive fund assets hit US$10trn, study suggests
HK removes RMB conversion cap, opens more doors..
Source: Northern Trust
Vanguard Continues Momentum In Global ETF Market
2014 marked by asset growth, product innovation and expense reductions
December 17, 2014--Vanguard reported today that it continued to see strong adoption in 2014 of its exchange-traded funds (ETFs) in the United States, Canada, Europe, Australia, Asia and elsewhere around the world.
The firm reported global ETF cash flow of more than $75 billion at the end of November and total global ETF assets of more than $442 billion .
"Vanguard's value proposition is not confined by geographic boundaries," said Vanguard Chief Investment Officer Tim Buckley.
Source: Vanguard
Deciphering Developing Markets-The African Decade?| The snap Greek presidential elections| Africa and the current price of oil
December 16, 2014--The African Decade?
Every decade or so I'm reminded that this is going to be the decade for sub Saharan Africa, and I'm always disappointed. I have no doubt their time will come, but until then I feel there are many other countries in the developing world outside Africa that are less risky and present the investor with higher possible returns.
I would love to see the countries in sub Saharan Africa get their act together and embrace capitalism and democracy, but as an article in Saturday’s Wall Street Journal made so clear, that is not happening. So many of these countries, even those with an emerging middle class, are ruled by dictators and military men who seek to stay in power whether through sheer force, amending the constitution, or staging a coup when they are voted out of office. Yes, it's true that China has invested heavily and is very active in this commodity-rich continent. The West has really abdicated their role here, leaving the door wide open for the Chinese, who are eager to convert countries to their way of doing business and their version of capitalism. Of note are two countries, Kenya and Uganda, that are bucking the trend. These are two countries that investors would do well to watch, though access to their markets is limited. The best Africa focused ETF that has some exposure to Kenya (1.5%) is the Van Eck Market Vectors Africa Index Fund (AFK), which has a one year return of 25.65%.
Source: Peter Kohli, DMS Funds
BlackRock ETP Landscape 2014 Year in Review
December 16, 2014--GLOBAL ETP INDUSTRY AUM GROWS 15% TO OVER $2.7 TRILLION DRIVEN BY RECORD INFLOWS AND INCREASED ADOPTION
Global ETP flows of $267.9bn through November surpassed the previous full-year record set in 2012
Increased adoption among institutions, intermediaries and individuals aided unprecedented expansion in the European and US markets
Fixed income ETPs set a new record, gathering $78.6bn as appetite for yield and slower than expected global economic growth helped assets swell 22% to $430bn
ETPs in Europe gathered $60.8bn, triple the amount last year, as market penetration increased and ECB bond purchases boosted fixed income flows
Accelerating US GDP growth propelled US-listed ETP flows to a record $193.5bn as demand for US equities and fixed income proved resilient
Themes to watch in 2015 include smart beta, emerging markets and Japan equity, all of which remain compelling following notable contributions to 2014 flows.
Source: BlackRock
Bearish retreat on equities by S&L investors as crude oil slump triggers global growth uncertainty
December 16, 2014--S&L investors to cut their positions in equities, fixed income and commodities by $3 billion, as the slump in crude oil clouds the outlook on global growth.
Outflows of $1.6 billion from Japanese equities, $451 million from US equities and $335 million from South Korean equities overwhelmed the S&L ETP flows in other asset classes, globally.
S&L investors continue to build up contrarian bets on falling crude oil by selling shorts and buying long ETPs.
$664 million inflows into long ETPs accompanied $809 million outflows from short ETPs tracking oil since July 2014.
At the end of November, the AUM of S&L ETPs globally stood at $58 billion. At the same time, BOOST reached a $155 million AUM, rising 320% from the end of November 2013.
Source: Boost
S&P DJI launches Momentum Indices series
S&P Dow Jones Indices (S&P DJI) has launched a new smart beta index series constructed based on the past relative performance of stocks.
The S&P Momentum Indices series measures the performance of securities in global equity markets, and focusses on those that have exhibited persistent outperformance. This reflects the theory that the relative strength of stocks in the past predicts relative performance over the next three-to-12 months.
Source: Asia Asset Management
