Global ETF News Older than One Year
ETFS Precious Metals Weekly: Gold Price Surges to 6-Month High as Investors Move into Hard Assets on Fed's Aggressive QE3 Announcement
September 17, 2012--Gold hits 6-mth high above $1770/oz as FOMC delivers even more than expected on its stimulus pledge
South Africa supply problems push platinum price to five-month high.
Key events to watch this week: Will Spain seek a bailout?
What Will Drive the Next Leg of the Gold Bull Market?
Since mid-July the gold price has rallied strongly, but remains 11% below the peak of USD$1900/oz. achieved in September 2011. European financial and economic turmoil continues to plague financial markets, yet officials have so far failed to find a comprehensive plan to solve the root causes of the crisis. Europe remains mired in deep recession, the US economy appears to have stalled, while Asian emerging market growth has slowed. In this environment most "safe haven" assets have performed well, with G-3 bond yields falling to all-time lows earlier this year. Prior to August, the stand-out exception was gold, which had performed relatively poorly in 2012. Gold's modest performance in an environment of high sovereign risk caused some investors to question its historic "store of value" credentials. In this note we look at some of the key factors that traditionally drive gold price performance, explain what has been behind the performance of the gold price so far this year, and assess the outlook and likely key catalysts for gold price performance for the rest of 2012 and into 2013.
visit www.etfsecurities.com for more info
Source: ETF Securities
August 2012 Market Share and Market Dynamics Executive Summary
September 15, 2012--The August 2012 FIF Market Share and Market Dynamics Reports-Executive Summary is now available.
Source: Financial Information Forum (FIF)
BNY Mellon to fuse currency specialist with Alt Ucits arm
September 14, 2012--BNY Mellon Asset Management has announced its currency risk specialist outfit Pareto Investment Management will be absorbed by another of its subsidiaries.
Pareto, which has $42 billion in assets under management and operations in the UK, USA, Japan and Australia, will become part of absolute return and fixed income investment group Insight Investment.
The deal is set to see Pareto remain an independent entity within Insight but act as a specialist investment team focusing on currency risk and is expected to be complete on January 1 2013.
Source: CityWire
EPFR Global Fund Data News-Monetary policymakers set the table for fall flows action
September 14, 2012--Two weeks into September investors and markets had, on the face of it, been given much of what they had been hoping for and expecting: a bond buying program from the European Central Bank, ratification of the European Stability Mechanism by Germany's Constitutional Court and additional mortgage backed bond purchases by the US Federal Reserve.
Flows into EPFR Global-tracked funds during the second week of September reflected these developments, with all Equity Funds absorbing a 65 week high of $12.1 billion and Bond Funds, driven by higher yielding fund groups, posting their biggest inflow since the first week of May.
Among the major fund groups that benefited were Europe Equity, Emerging Market Bond and Global Equity Funds, which saw inflows hit 18, 31 and 41 week highs respectively during the week ending Sept. 12, and Commodities Sector Funds which absorbed over $1.7 billion.
Visit http://www.epfr.com for more info
Source: EPFR
FEAS Monthly Newsletter-August 2012
September 14, 2012--Highlights
ADX: Abu Dhabi Securities Exchange (ADX) announcedtoday that it has succeeded in achieving a compliance rate of 100% regardingthe disclosure of financial statements of the listed public joint stockcompanies within the 45 days from the end of the second quarter perioddeadline.
BUCHAREST SE: Bucharest Stock Exchange (BVB) announces thetrading start of the fund units of the Open Investment Fund ETF BET Tradeville(symbol: TVBETETF; ISIN: ROETF0000019) on the BVB regulated market as of August29, 2012.
EGX: The Egyptian Exchange (EGX) launched its FIXHUB project this month through linking to FIDESSA trading network. EGX FIX HUBnetwork will enable international investors to trade Egyptian securities withease through a FIX gateway. Accordingly, this will reflect positively on theEgyptian market liquidity without violating capital market rules. It is worth mentioning that few years ago EGXhas started its FIX HUB project with the aim of linking to London StockExchange (LSE).view newsletter
Source: FEAS
Core principles for effective banking supervision-revised version endorsed by global bank supervisors
September 14, 2012--Banking supervisors and central bankers representing more than 100 countries have today endorsed the Basel Committee's revised Core principles for effective banking supervision, the global standard for the sound prudential regulation and supervision of banks and banking systems.
Delegates met in Istanbul on 13-14 September 2012 for the 17th International Conference of Banking Supervisors, which was hosted by the Central Bank of the Republic of Turkey and the Turkish Banking Regulation and Supervision Agency. Drawing on lessons learnt during the financial crisis that began in 2007, the revised Core Principles represent a significant step forward from the Basel Committee's 2006 Core principles for effective banking supervision and the associated Core principles methodology. They also reflect key advances in regulatory thinking in recent years that, among other things, include:
view the Core Principles for Effective Banking Supervision
Source: BIS
IOSCO Creates Board Level Task Force on Financial Market Benchmarks
September 14, 2012--In light of the significant issues raised by investigations into attempted manipulation of benchmarks and related enforcement actions, in particular the recent incidents involving LIBOR, EURIBOR and TIBOR, the International Organization of Securities Commissions has constituted a Board Level Task Force on Financial Market Benchmarks to identify relevant benchmark-related policy issues and develop global policy guidance and principles for benchmark-related activities of particular relevance to market regulators.
The high level Task Force is composed of members of the IOSCO Board and will be chaired by Martin Wheatley, the Managing Director of the UK Financial Services Authority (UK FSA), and Gary Gensler, the Chairman of the US Commodity Futures Trading Commission (CFTC). The Task Force will take into account other relevant initiatives by policymakers and stakeholders on benchmarks1 and serve as the IOSCO representative, together with the Chairman of the IOSCO Board, in any other international work initiatives on benchmarking, with a view to avoiding overlap or inconsistencies.
Source: IOSCO
Virtu Financial Acquires Amsterdam ETF Market Maker, Nyenburgh Holding B.V.
US Market Maker Strengthens Role in European ETF Market
September 14, 2012--Virtu Financial ("Virtu") has today acquired the European ETF
Market Maker assets of Nyenburgh Holding B.V. ("Nyenburgh" or the "Company").
Terms of the transaction were not disclosed. Barclays Bank PLC, acting through its investment bank (“Barclays”), acted as sole financial adviser to Nyenburgh in connection with the transaction.
Nyenburgh is recognized as a leading ETF market maker across Europe. The Company has years of established relationships with ETF sponsors and primary European exchanges. With the acquisition of Nyenburgh’s ETF market making business, Virtu continues its expansion into formalized, regulated market making business across the US, Europe and Asia.
Source: The Street
TABB Examines Adoption of New Structures and Technologies Moving Equity-Style ETF Trading into Corporate Bond Liquidity
Trading in US Corporate Bond ETFs Accelerated During First Half of 2012, Accounting for Average Daily Bond Volumes of $262M in Investment Grade and High-Yield Markets
September 13, 2012--In spite of the boom in the US primary markets this month, the corporate bond industry faces a level of demand among asset managers far greater than issuance, leading to the adoption of new structures and technologies driving a rise in equity-style, fixed-income exchange-traded fund (ETF) use.
In new research published today, TABB Group estimates trading in US corporate bond ETFs accelerated during the first half of 2012, accounting for average daily bond volumes of $262 million, specifically $146 million in par value in the investment grade and $116 million in par value in the high-yield markets.
“As corporate bond ETF trading accelerates,” says Henry Chien, research analyst and author of “Corporate Bonds and the ETF: Odd-Lot Arbitrage,” “unique liquidity dynamics and information flow of ETFs will increasingly impact prices and trading behavior in the underlying bond markets.”
Source: TABB Group
Rethink Role of State in Finance, says World Bank
September 13, 2012--It is time to rethink the role of the state in the financial sector, so that governments can better balance the need for credit and emergency support for banks with measures to promote transparency and competition when crises erupt, says a new World Bank report.
“Governments need to provide strong supervision and ensure healthy competition in the financial sector. They also need to support financial infrastructure, such as better quality credit information that is shared more systematically,” says World Bank Group Managing Director Mahmoud Mohieldin. "But the mixed results of their direct role in issuing credits merits close examination. Indeed, as we emerge from the global financial crisis, governments may want to consider shifting toward indirect interventions."
Source: World Bank
