Global ETF News Older than One Year
FTSE Teams Up With TOBAM To Maximise Equity Portfolio Diversification
November 17, 2011--FTSE Group (“FTSE”), the award winning global index provider, and Paris-based asset manager, TOBAM, today announce the launch of a new family of 8 indices- the FTSE TOBAM Maximum Diversification Index Series. The index series seeks to maximize a mathematical definition of diversification, the Diversification Ratio, to provide institutional investors with the most diversified portfolio possible in any given stock universe across global and domestic markets.
Based on original research from TOBAM, the FTSE TOBAM Maximum Diversification Index Series helps investors to avoid portfolio concentration. Constituents are sourced from the FTSE All-World Index and are weighted so that each effective risk factor contributes equally to the risk of the portfolio, as opposed to a market capitalization weighted basis. The portfolio construction methodology used in the construction of the index series has already been adopted by major asset owners including CalPERS.
Source: FTSE
Quarterly National Accounts - GDP Growth - Third Quarter 2011, OECD
November 17, 2011--Provisional figures show that gross domestic product (GDP) in the OECD area rose by 0.6% in the third quarter of 2011, against 0.3% in the previous quarter. The key reason for the increase in the OECD growth rate, as compared to the second quarter, was the strong growth in Japan (1.5%) in the third quarter, partly due to a technical rebound after the earthquake disaster. This strong growth in Japan followed three consecutive quarters of contraction.
Growth in the Euro area and the European Union remained at 0.2%, despite the higher growth in Germany (0.5%), the United Kingdom (0.5%) and France (0.4%). GDP growth in the United States also picked up slightly at 0.6%. Relative to a year earlier, GDP increased by 1.8% in the third quarter of 2011 in the OECD area, the same as in the previous quarter. Among the Major Seven* economies, Germany recorded the highest year-on-year growth rate (2.6%) and Japan the lowest (minus 0.2%).
Source: OECD
Global Experts Poll: Crisis of Confidence in the State of the Global Economy Continues
2nd quarterly Global Confidence Index polls 1,200 experts from business, government, international organizations and academia who are Members of the Forum’s Network of Global Agenda Councils
70% of those polled remain pessimistic about the global economic outlook, but confidence in global cooperation has increased
November 16, 2011--The confidence deficit continues worldwide with international experts remaining pessimistic about the state of the global economy and global governance over the next year, according to the results of the World Economic Forum’s second quarterly Global Confidence Index.
However, the Index shows that there is higher optimism for global cooperation to address these risks.
Over 1,000 global experts from the public and private sectors were sent the survey for the Global Confidence Index – a joint initiative of the World Economic Forum’s Risk Response Network and Global Agenda Councils. Among the respondents, 70% remain pessimistic about the global economic outlook, the same number as last quarter. Confidence in global governance also remains low this quarter, with a consistent 60% of respondents signalling little trust in political leadership to deal with global risks.
One-third of the respondents expressed confidence in the state of global cooperation, compared with one-fifth three months ago. However, concern about a major societal disruption being likely or very likely to occur over the next 12 months has grown from 50% to 60% this quarter.
view full analysis and results-Global Confidence Index
Source: WFE
Corporate Leaders Forecast Business Expansion and New Jobs in 2012 Despite Rising Concerns, According to New NYSE Euronext CEO Report
Cross-generational survey of public and private company CEOs and MBA students
Views on the global economy, job creation, innovation, social media, brand reputation
Economic and political stability, regulation, tax policy, protectionism, trade among top concerns
November 16, 2011--According to a newly released report by NYSE Euronext (NYX), 62% of public companies and 71% of private firms are likely to expand and add jobs in 2012 despite rising concerns over economic uncertainty and political instability, regulatory and tax policies, protectionism and international trade.
The 2011 NYSE Euronext Report represents the views of CEOs of publicly held companies and, for the first time, CEOs of private or emerging companies including private equity and venture-backed firms as well as MBA students, dubbed “aspiring corporate leaders”.
The 2011 NYSE Euronext CEO Report, now in its 7th year, is an expansive cross-generational survey that provides leadership insights on the economy and growth, the workforce and job creation, reputation and brand management, the CEO of the future, and social media. Respondents include 317 CEOs of NYSE-listed companies from more the 25 countries, 119 CEOs of emerging private companies in the U.S., and more than 200 U.S-based MBA students. Global market research firm ORC International conducted the survey on behalf of NYSE Euronext. To view the results of the 2011 NYSE Euronext CEO Report click here
Source: NYSE Euronext
US body sees renminbi as threat to dollar
November 16, 2011--The Chinese renminbi could pose a threat to the international dominance of the US dollar within a decade, according to an independent commission set up by the US Congress.
The annual report of the US-China Economic and Security Review Commission, published on Wednesday, said China’s efforts to spread international use of its currency were succeeding in broadening its reach.
Source: FT.com
U.S. Stocks Climb on Italy, Economic Data; Treasuries Trim Gains
November 15, 2011-- U.S. stocks gained amid speculation that Italian Prime Minister-designate Mario Monti will form a new government to battle the debt crisis, while growth in retail sales bolstered optimism in the economy. The euro pared losses and Treasuries erased their advance.
The Standard & Poor's 500 Index added 0.5 percent to close at 1,257.81 at 4 p.m. in New York after losing as much as 0.6 percent. The euro slipped 0.8 percent to $1.3527, trimming a 1 percent drop. Italian 10-year yields topped 7 percent and rates on French, Belgian, Spanish and Austrian debt rose to euro-era records above German bunds. Ten-year U.S. Treasury yields fell one basis point to 2.05 percent after dropping seven points earlier. Oil rose to $99.37 a barrel, a three-month high.
Source: Bloomberg BusinessWeek
Thomson Reuters Global Equities Monthly Market Share Data Reports-October 2011
November 14, 2011-Trading is fragmenting between exchanges and competing venues. But by how much and which venues? Find out in the summarised monthly reports.
Source: Thomson Reuters
Composite Leading Indicators (CLIs), OECD, November 2011
OECD composite leading indicators continue pointing to slowdown in economic activity
November 14, 2011--Composite leading indicators (CLIs) for September 2011, designed to anticipate turning points in economic activity relative to trend, continue pointing to a slowdown in economic activity in most OECD countries and major non-member economies.
Compared to last month's assessment, the CLIs point more strongly to slowdowns in all major economies. In Japan, Russia and the United States the CLIs point to slowdowns in growth towards long term trends. In Canada, France, Germany, Italy, the United Kingdom, Brazil, China, India and the Euro area, the CLIs point to economic activity falling below long term trend.
Source: OECD
Scoach Receives Licence from Hong Kong Regulator
Largest exchange for structured products in Europe builds bridges with Asia / Investors benefit from late trading supervised by stock exchange
October 14, 2011--Scoach has been licensed by the Hong Kong regulator SFC (Securities and Futures Commission) to connect market participants in Hong Kong directly to the Xetra trading system.
In the future, banks and brokers can use the Xetra network to place structured product orders for trading on Scoach.
Hong Kong has the highest turnover of structured products in the world. Clients of connected banks and brokers there will now gain access to supervised stock exchange trading in Germany. Due to the time difference between Hong Kong and Frankfurt, Scoach trading operates from 4 p.m. to 3 a.m. Late trading extends the trading time for the leverage products that are very popular in Hong Kong. The entire offering of around 400,000 tradable leverage products is available to investors. Trading is also subject to the strict regulation of the German and European supervisory authorities which demand comprehensive investor protection as well as numerous information and transparency requirements.
Many issuers active on Scoach are already active in Hong Kong. They can now offer investors a broad product range of CBBCs (callable bull & bear contracts) and warrants in Hong Kong dollars (HKD) and other currencies. Scoach already offers selected warrants denominated in HKD and in addition, over 5,200 structured products with underlying instruments listed in Hong Kong. Scoach offers a product finder in Chinese script to help investors and order flow providers navigate better. This allows investors to filter the extensive product offering according to their own preferences and to access real-time price information.
“Connecting market participants in Asia clearly demonstrates the international character of Scoach,” said Scoach CEO Christian Reuss. “Having already connected many European markets, we are now taking the next logical step overseas. We are convinced that the world’s largest market and Europe’s largest market will complement each other very well and that both sides will benefit.”
Source: Scoach
New methodology for calculation of the indicative USD/RUB exchange rate has been published
November 11, 2011--A new methodology for calculation of the indicative USD/RUB exchange rate is now available on the website.
As a step towards integration of MICEX and RTS the indicative USD/RUB exchange rate will be calculated from 10:00 am to 07:00 pm based on the prices of the regulated FX market of MICEX.
From 7:00 pm, after the FX market of MICEX is closed, to 11:50 pm, the indicative USD/RUB exchange rate will be calculated based on indicative quotes published by the interbank market participants and disclosed by Thomson Reuters.
The indicative USD/RUB exchange rate is employed in calculation of RTS Indices and determination of the tick value for a number of derivatives contracts trading on FORTS.
The effective date of the new methodology will be announced shortly.
Source: RTS
