Global ETF News Older than One Year
A coalition of financial-services trade associations (the “Trade Associations”) today released a comprehensive set of requirements for establishing a legal entity identifier (LEI) system to aid regulators and industry in monitoring systemic risk.
July 11, 2011--A coalition of financial services firms and trade associations (the “Trade Associations” [i]), in coordination with the Global Financial Markets Association (ASIFMA/AFME/SIFMA, collectively known as GFMA), has presented to regulators a recommendation for the organizations that it believes are best suited to operate a global legal entity identifier (LEI) system to aid regulators and industry in monitoring systemic risk. The recommendation document can be found here: www.sifma.org/LEI-Recommendation-Process/.
The recommendation is the culmination of several months of work by the Trade Associations and GFMA as a first step in developing a global industry consensus on the requirements and standards for a viable, uniform and global LEI solution.
The Trade Associations, working through GFMA, now intend to consult further with the international regulatory community, as well as the recommended organizations and other parties, to understand fully the requirements that could make the global implementation and adoption of the LEI solution possible. This includes, as a top priority, working cooperatively with these parties in defining and establishing the LEI governance structure.
Source: Placingtraders.com
Low-cost ETFs reap fat profits - FT.com
July 10, 2011--Exchange traded fund providers in Europe are generating profit margins that are more than four times higher than the traditional mutual funds industry, even though ETFs are sold as low-cost products.
The fat profit margins could help explain the growing enthusiasm for launching ETFs with 139 new funds unveiled in Europe so far this year, taking the total to 1,185.
Source: FT.com
Joint Supplemental Statement of the Management Board and the Supervisory Board of Deutsche Börse Aktiengesellschaft
Mandatory publication pursuant to section 27 (3) sentence 1 in conjunction with section 14 (3) sentence 1 of the German Securities Acquisition and Takeover Act (Wertpapiererwerbs- und Übernahmegesetz (WpÜG))
July 8, 2011--The Joint Supplemental Statement of the Management Board and the Supervisory Board of Deutsche Börse
Aktiengesellschaft, Mergenthalerallee 61, 65760 Eschborn, Germany, pursuant to section 27 of the German Securities Acquisition and Takeover Act on the Amendment to the Voluntary Public Takeover Offer (Exchange Offer) published on 27 June 2011 made by Alpha Beta Netherlands Holding N.V. Beursplein 5, 1012 JW Amsterdam, The Netherlands to the shareholders of Deutsche Börse Aktiengesellschaft can be downloaded at www.deutsche-boerse.com/supplementalstatement
THIS DOCUMENT IS A NON-BINDING CONVENIENCE TRANSLATION OF THE GERMAN LANGUAGE JOINT SUPPLEMENTAL STATEMENT (GEMEINSAME ERGÄNZENDE STELLUNGNAHME) OF THE MANAGEMENT BOARD (VORSTAND) AND THE SUPERVISORY BOARD (AUFSICHTSRAT) OF DEUTSCHE BÖRSE AKTIENGESELLSCHAFT OF 8 JULY 2011.
Source: Deutsche Börse
NYSE Euronext Announces Trading Volumes for June 2011 and Other Metrics
Global Derivatives ADV Up 8% Year-Over-Year on U.S. Options and European Fixed Income; NYSE Liffe U.S. Total Open Interest Over 650,000 Contracts; Completed Successful Migration of MSCI-Index Based Futures
July 8, 2011--NYSE Euronext (NYX) today announced trading volumes for its global derivatives and cash equities exchanges for June 20111.
Global derivatives average daily volume (“ADV”) of 8.8 million contracts in June 2011 increased 8.0% versus the prior year driven by a 19.7% increase in U.S. options ADV and a 14.3% increase in European fixed income derivatives which offset a 14.4% decrease in European equity products ADV. Cash equities ADV declined across all venues in June 2011, with European cash ADV decreasing 2.8% and U.S. cash trading ADV decreasing 28.7% from June 2010 levels.
Highlights
NYSE Euronext global derivatives ADV in June 2011 of 8.8 million contracts increased 8.0% compared to June 2010, but decreased 16.3% from May 2011 levels.
NYSE Euronext European derivatives products ADV in June 2011 of 4.6 million contracts decreased 2.1% compared to June 2010 and decreased 28.1% from May 2011 levels. Excluding Bclear, NYSE Liffe's trade administration and clearing service for OTC products, European derivatives products ADV increased 4.8% compared to June 2010 and decreased 2.0% from May 2011.
Source: NYSE Euronext
FAO Food Price Index up slightly in June
But outlook for cereals improves
July 7, 2011--FAO's Food Price Index rose one percent to 234 points in June 2011 - 39 percent higher than in June 2010 but four percent below its all-time high of 238 points in February of this year.
A strong rise in international sugar prices was behind much of the increase.
The FAO Cereal Price index averaged 259 points in June, down one percent from May but 71 percent higher than in June 2010. Improved weather conditions in Europe and the announced lifting of the Russian Federation's export ban contributed to the price drop.
Source: FAO
NYSE Euronext shareholders approve Deutsche Boerse merger
July 7, 2011-- NYSE Euronext shareholders approved Thursday a merger with Deutsche Boerse to form the biggest stock exchange operator in the world valued at some $25 billion.
A merged Deutsche Boerse and New York Stock Exchange Euronext will own bourses in New York, Frankfurt, Paris, Lisbon, Amsterdam and Brussels.
Source: EUbusiness
NYSE Euronext Shareholders Overwhelmingly Approve Combination With Deutsche Boerse - Preliminarily, Over 96% Of Votes Cast In Favor Of The Proposed Merger
July 7, 2011--NYSE Euronext (NYSE:NYX) today announced that its shareholders have approved the adoption of the business combination agreement with Deutsche Boerse AG (XETRA: DB1) and related proposals. The proposals, which required approval by a majority of the outstanding shares or in some cases majority of shares voted of NYSE Euronext common stock, were approved at a special shareholders meeting held today in New York.
Based on preliminary results, approximately 96.09% of the shares present at the special meeting voted for the approval of the combination, representing 65.68% of NYSE Euronext’s outstanding common shares.
“We are delighted that our shareholders support the value inherent in this compelling combination with Deutsche Boerse and recognize the substantial benefits the combined company will be positioned to provide,” said Jan-Michiel Hessels, Chairman of the Board of NYSE Euronext.
Source: NYSE Euronext
Deutsche Börse AG welcomes positive vote of NYSE Euronext shareholders
More than 96 percent (preliminary figures) in favour of the planned combination/Acceptance period for Deutsche Börse shareholders will expire on 13 July
July 7, 2011-- Deutsche Börse AG welcomes the positive vote a clear majority of shareholders cast today during the extraordinary shareholders' meeting of NYSE Euro-next. Based on preliminary results over 96.09 percent of the voting capital approved the planned combination of the two exchange operations this morning (US time).
This corresponds to 65.68 percent of the overall capital. With this move, a major prerequisite for the planned combination has been met.
Reto Francioni, CEO of Deutsche Börse AG and designated Chairman of the future joint holding company, said: "The shareholders of NYSE Euronext have clearly voted in favour of the growth perspectives and the value potential. Now the shareholders of Deutsche Börse have also their chance to participate."
Source: Deutsche Börse
Top hedge fund managers see significant losses
July 7, 2011--Some of the world’s largest hedge fund managers have been left nursing significant losses after two months of volatile markets amid growing fears over the state of the global economy.
Monthly performance numbers for the industry, tracked by Hedge Fund Research, due to be released on Friday are expected to confirm a lacklustre first half of the year with the average fund manager returning little more than 2 per cent.
Source: FT.com
IOSCO consults on issues raised for market efficiency and integrity by technological developments
July 6, 2011--The Technical Committee of the International Organization of Securities Commissions has published a Consultation Report on Regulatory Issues Raised by the Impact of Technological Changes on Market Integrity and Efficiency (Report), which is aimed at developing recommendations to mitigate the risks posed to the financial system by the latest technological developments, such as high frequency trading. The work is being carried out in response to a G20 Leaders request during the Seoul Summit in 2010.
The Report analyses the most significant technological developments and related micro-structural issues that have arisen in financial markets in recent years, notably high frequency trading, and their impact on market structure, participants’ behaviour, price discovery and formation and also on the availability and accessibility of liquidity. It also considers other micro-structural related topics such as co-location, tick sizes, fee structures, indications of interest etc. and presents an analysis on trading control mechanisms.
Source: IOSCO
