Global ETF News Older than One Year
ETF Securities-Precious Metals Weekly-The Gold Rally Gains Momentum as Equity Volatility Picks Up
July 14, 2014--Increasing uncertainty benefits gold and silver. The second week of the second half of
the 2014 year concluded with precious metal prices continuing to rally, real interest rates
declining and potential cracks forming in the historic 5+ year equity market rally.
Some prudent diversification into safer assets has been the early H2 trend, with geopolitical risks escalating in the Middle East and Russia, economic risks increasing in Europe and volatility returning to equity markets. Gold and silver were the best performing precious metals last week, with gains of 1.2% and 1.4% respectively. Contrary to consensus expectations at the onset of 2014, all four of the precious metals ended the week with year-to-date gains above the 6.5% year-to-date increase in the S&P 500 index. FOMC meeting minutes released last week noted that some Fed officials believe "market participants were not factoring in sufficient uncertainty about the path of the economy and monetary policy." Gold rallied sharply with the VIX volatility index which ended the week at 12.1, up from 10.3 the previous week, which was the lowest since Feb. 2007. Gold should be a primary beneficiary if volatility returns to the equity markets.
Source: ETF Securities
DECPG Weekly Economic Brief--July 10, 2014
July 11, 2014--The post crisis recovery in imports has been uneven. Developing countries have recorded robust growth across all import groups, whereas in high-income countries, reflecting weaker domestic demand conditions, growth especially in durable and capital goods imports has been relatively weaker.
Supported by the current favorable financial market conditions, gross capital flows to developing countries in June were robust. The easing of financial market conditions in recent months is reflected in the decline in developing country bond spreads, including those from Sub-Saharan Africa.
Source: World Bank
Fidelity loses ground to index trackers
July 11, 2014--The world's largest active fund managers, Fidelity and Capital Group, are losing market share to index trackers and niche rivals, as changing investor demands reshape the $30tn global mutual fund industry.
Figures compiled for the Financial Times by Morningstar show that investors withdrew a net $3.5bn from Fidelity's US funds in the six months to the end of June, while Capital Group's American Funds managed inflows of less than $600m.
Source: FT.com
Barclays index business could worth $1bn
Business, which boasts more than 98 major indexes, could be worth more than double what Barclays had been expecting to sell it for
July 11, 2014--Barclays' planned sale of its index business could yield close to $1bn, more than double what the bank had expected.
The long-anticipated sale of the Index, Portfolio and Risk Solutions (IPRS) business kicked off in early June, and several bidders recently progressed into the auction's second round.
Source: Telegraph
Investors Flock to Government Bonds
Concerns Rise Over Health of Portuguese Bankz
July 10, 2014--Investors piled into haven government bonds in the U.S., Germany and the U.K. on Thursday, driven by fresh signs of uneven global growth and concerns over the health of a major Portuguese bank.
The buying propped up the prices of Treasury bonds for a fourth straight session, sending the yield on the benchmark 10-year Treasury note to the lowest level in more than a month. The yield on the 10-year German government bond fell to near a record low. When bond prices rise, their yields fall.
Source: Wall Street Journal
Bank Trading Revenue May Improve in Second Quarter
Fixed Income, Currencies and Commodities Trading in U.S., Europe May Do Better Than Expected
July 10, 2014--Bank revenues from fixed income, currencies and commodities trading, or FICC, might not be as bad as some expect when the sector reports second-quarter results starting Friday, senior executives and bankers said.
An uptick in trading volumes in June has mitigated a slow start to the quarter and will help banks who are large U.S. and European fixed-income players, though it may not be enough to keep FICC revenues from declining overall for the quarter.
Source: Wall Street Journal
Netagio launches first British Bitcoin, gold & sterling exchange
Netagio exchange enables domestic and international customers to trade all three asset classes against each other on a single platform.
July 10, 2014--Netagio, the UK-based digital currency broker, has announced the launch of the first British exchange enabling retail customers and institutional investors to trade gold,
Bitcoins and GBP on a single peer-to-peer exchange platform. Customers from 114 countries can now trade each asset class against each other on the exchange.
Source: Automated Trader
Bloomberg Acquires RTS Realtime Systems
RTS delivers high-performance, multi-asset trading solutions to enhance speed and geographic reach of Bloomberg trading technologies
July 9, 2014--Bloomberg announced today that it has acquired RTS Realtime Systems, a global provider of low-latency connectivity and trading support services.
RTS provides market connectivity and trading tools for equities, futures, options, FX and fixed income trading.
Source: MarketWatch
Qatar to sell down stake in LSE
July 9, 2014--The Qatar Investment Authority is to sell down a third of its stake in the London Stock Exchange Group ahead of the bourse's $1.6bn rights issue to help purchase Frank Russell, the US index compiler.
The sovereign wealth fund has instructed Bank of America Merrill Lynch and Citigroup to sell a near 5 per cent stake in an accelerated bookbuild, said two people familiar with the situation.
Source: FT.com
Brics bank set to launch next week
July 9, 2014--Leaders of the Brics nations-Brazil, Russia, India, China and South Africa- will launch their long-awaited development bank at a summit next week and decide whether the headquarters should be in Shanghai or New Delhi, Russian Finance Minister Anton Siluanov said on Wednesday.
The Brics' creation of a $100bn bank to finance infrastructure projects has been slow in coming, with disagreements over its funding, management and headquarters.
Source: FIN24
