Global ETF News Older than One Year
May 2010 Monthly Preliminary Performance Report Dow Jones-UBS Commodity Indexes
May 24, 2010--The Dow Jones-UBS Commodity Index was down -8.43% for the month of May. The Dow Jones-UBS Single Commodity Indexes for Sugar and Natural Gas had the strongest gains with month-to-date returns of 3.30% and 1.38%, respectively. The Dow Jones-UBS Gold Sub-Index had the narrowest downside MTD performance of -0.38%. The three most significant downside performing single commodity indexes were Crude Oil, Lead, and Nickel, which were down -20.73%, -19.08%, and -18.90% respectively, in May.
Year to date, the Dow Jones-UBS Commodity Index is down -11.38% with the Dow Jones-UBS Nickel Sub-Index posting the highest gain of 14.62% so far in 2010. Dow Jones-UBS Sugar Sub-Index has the most significant downside YTD performance, down -41.27%.
Source: Mondovisione
Wealthy emerge from crisis divided on future prospects but united in conscientious approach
May 24, 2010--A new wealth-consciousness is emerging as wealthy investors seek greater knowledge and information about investment
Report reveals significant divergence of opinion on wealth creation opportunities in next five years
Equities and property hold favour with wealthy investors in uncertain times
Newly engaged investors call for information and simplicity in wealth management
Barclays Wealth, a leading global wealth manager, has today (24th May 2010) published a new report revealing wealthy investors' attitudes towards the global economic outlook and prospects for investments in the years ahead.
Entitled 'The Changing Wealth of Nations', the report is the eleventh in the Barclays Wealth Insights series. Surveying more than 2,000 high net worth individuals across different markets around the world, it highlights a polarisation of opinion on the global economic outlook and a perceived lack of clarity over the potential for investment growth. Against this backdrop a new "wealth-consciousness" is emerging as wealthy investors seek greater knowledge and information about investment and a straightforward approach to wealth management.
Optimism versus pessimism
The report shows a significant divergence of opinion over wealth creation opportunities in the next five years with some regions being significantly more optimistic than others. Respondents in the GCC are particularly confident of a global recovery, with 1 in 3 (33%) expecting the economy to grow over the next few years. By contrast, in Europe, less than 1 in 5 (19%) expect global growth in the years ahead while the USA takes a more pessimistic view with just 13% forecasting growth in the global economy in the short to medium term.
Source: Barclays Wealth
IMD 2010 World Competitiveness Yearbook rankings
Singapore, Hong Kong and the USA come out on top!
May 19, 2010--For the first time in decades, Singapore (1) and Hong Kong (2) have topped the USA (3) in IMD’s World Competitiveness Yearbook rankings. They are so close, however, that it would be better to define them as the leading “trio”. In the first 10 places: Australia (5), Taiwan (8) and Malaysia (10) also benefit from strong demand in Asia. Switzerland (4) maintains an excellent position characterized by strong economic fundamentals (very low deficit, debt, inflation and unemployment) and a well-defended position on export markets. Sweden (6) and Norway (9) shine for the Nordic model, although Denmark (13) surprisingly loses ground, in particular due to the pessimistic mood expressed in the survey.
Not surprisingly Germany (16) leads the larger “traditional” economies such as the UK (22), France (24), Japan (27) and Italy (40). Despite a significant budget deficit and growing debt, Germany’s performance is driven by strong trade (second largest exporter of manufactured goods), excellent infrastructure, and a sound financial reputation. It was also to be expected that China (18) would lead the other BRIC nations, followed by India (31), Brazil (38) and Russia (51). And of course the credit-worthiness storm that affects Southern Europe acts as a drag on the performance of Spain (36), Portugal (37) and Greece (46).
Source: IMD
Dow Jones Islamic Market Index Wins Best Shari'ah-Compliant Index Provider
May 17, 2010--Dow Jones Indexes, a leading global index provider, today announced that it has been named "Best Shari'ah-Compliant Index Provider" by Global Finance magazine for the third consecutive year.
Global Finance's award for the World's Best Islamic Financial Institution recognizes financial companies that make significant contributions to the growth of Islamic finance and have successfully met their clients' needs for Shari'ah-compliant products, while creating the foundation for continued fast growth in the future.
"We are honored to receive this award for the third year in a row. The Dow Jones Islamic Market Index series is one of our finest achievements in terms of innovation, concept, design, and market acceptance. Our Islamic index family continues to gain prominence as the global standard for measuring Shari'ah-compliant equity investment," said Michael A. Petronella, president designate, Dow Jones Indexes. "We are committed to continue providing meaningful, new Islamic indexes in the years to come," he added.
Award winners were selected by the editors of Global Finance, after extensive consultations with bankers, corporate finance executives and analysts worldwide. Selection criteria included objective factors such as growth in assets, profitability, geographic reach, strategic relationships, new business development and innovation in products, as well as subjective feedback from Islamic finance analysts, consultants and other industry participants.
Source: Dow Jones Indexes
Oil falls to $70, lowest in more than three months
may 17, 2010--US oil prices fell below $70 a barrel on Monday to their lowest in over three months, extending a loss of more than 18 percent so far in May on concerns over Europe’s debts, the weak euro and swollen US oil inventories.
The euro sank to four-year lows as Europe’s debt crisis led investors to pull more money from stocks in favor of havens such as gold and Asian bonds. Base metals slid to three-month lows as investors shunned riskier assets and on doubts over the prospects for growth. US crude for June delivery fell more than $1 to a low of $69.82 a barrel, its weakest since Feb. 5.
Source: Todays Zaman
BlackRock-ETF Landscape: Industry Highlights - End April 2010
May 14, 2010--Global ETF and ETP Industry end April 2010:
* The global ETF industry had 2,189 ETFs with 4,354 listings, assets of US$1,113.1 Bn, from 122 providers on 42 exchanges around the world.
European ETF and ETP Industry end April 2010:
* The European ETF industry had 932 ETFs with 2,748 listings, assets of US$234.3 Bn, from 36 providers on 18 exchanges.
* Net new assets into European domiciled ETFs/ETPs totalled US$14.3 Bn YTD, with Emerging Market equities receiving US$3.3 Bn net inflows, followed by Fixed Income with US$3.1 Bn and Commodities with US$2.5 Bn net new assets YTD.
United States ETF and ETP Industry end April 2010:
* The US ETF industry had 839 ETFs, assets of US$764.0 Bn, from 28 providers on two exchanges.
* Net new assets into US domiciled ETFs/ETPs totalled US$21.8 Bn YTD, with fixed income ETFs/ETPs receiving US$12.8 Bn net inflows, followed by Asia Pacific equity ETFs/ETPs with US$3.1 Bn net new assets, while alternative asset classes experienced US$1.2 Bn net outflows YTD.
Canada ETF and ETP Industry end April 2010:
* The Canadian ETF industry had 134 ETFs, assets of US$33.0 Bn, from four providers on one exchange.
Asia Pacific ex-Japan ETF and ETP Industry end April 2010:
* The Asia Pacific ex-Japan ETF industry had 168 ETFs with 267 listings, and assets of US$44.4 Bn from 53 providers on 13 exchanges.
Japan ETF and ETP Industry end April 2010:
* The Japanese ETF industry had 70 ETFs with 73 listings, and assets of US$26.3 Bn from six providers on two exchanges.
Latin America ETF and ETP Industry end April 2010:
* The Latin American ETF industry had 21 ETFs with 243 listings, and assets of US$9.1 Bn from three providers on three exchanges.
Source: Global ETF Research & Implementation Strategy Team, BlackRock
IMF Releases Background Material for its Assessment of the United States under the Financial Sector Assessment Program
May 14, 2010--Discussions for the International Monetary Fund’s assessment of the United States under the Financial Sector Assessment Program (FSAP) took place during October 14–November 3, 2009 and February 17–March 12, 2010. The Financial System Stability Assessment (FSSA) report, which is the main output of the FSAP process, will be discussed by the Executive Board of the IMF at the time of the annual Article IV discussion in the summer. The FSSA report will be published with the Article IV report at that time.
At the request of the U.S. authorities, all seven Detailed Assessment of Observance Reports and four Technical Notes that were prepared during the first part of the FSAP exercise in October/November 2009 are being released today. Remaining Technical Notes are under preparation, and will all be published at the time of the release of the FSSA report.
Source: IMF
BlackRock-ETF Landscape: Industry Review Q1 2010
May 12, 2010--We have just published the Q1 2010 edition of our monthly ETF Landscape Industry Review. This report is a review of the Exchange Traded Funds (ETFs) and Exchange Traded Products (ETPs) industry through the end of Q1 2010.
At the end of Q1 2010 the global ETF industry had 2,131 ETFs with 4,133 listings, assets of US$1,081.9 Bn from 123 providers on 42 exchanges around the world.
We celebrate the 10th anniversary of ETFs in Europe as the first ETFs to launch in Europe were the iShares DJ STOXX 50 (EUN1 GY) and iShares DJ Euro STOXX 50 (EUN2 GY) on 11 April 2000 on the Deutsche Boerse, followed by the iShares FTSE 100 (ISF LN) on the London Stock Exchange extraMARK segment on 28 April 2000. The first two ETFs were originally branded as ‘LDRS’, sponsored by Merrill Lynch International and later acquired by iShares in September 2003.
We also celebrate the 20th anniversary since the launch of the very first ETF globally. Twenty years ago on 9 March 1990 the first ETF was listed in Canada on the Toronto Stock Exchange (TSX): the TIPs (Toronto 35 Index Participation Fund) tracking the TSX 35 Index. It was followed by the HIPs (Hundred Index Participation Fund) tracking the TSX 100 Index on 26 September 1995. Ten years ago on 7 March 2000, the TIPs and HIPs ETFs were merged into the iUnits S&P/TSE Index Participation Fund (XIU CN): an ETF that was originally listed on 4 October 1999.
Source: Global ETF Research & Implementation Strategy Team, BlackRock
Gold ETFs' $2.3 bln inflow highest in 12 months-TrimTabs
May 12, 2010--Gold exchange-traded funds, including the popular SPDR Gold Shares, have seen more than $2.3 billion in net inflows in the six trading days ended Monday.
TrimTabs Investment Research said on Wednesday that the net inflows into gold ETFs are the highest in 12 months. Last Thursday during the near 1,000-point plunge in the Dow Jones industrial average, gold ETFs saw net inflows of $1.1 billion, TrimTabs said.
Spot gold surged to a record high on Wednesday as investors sought safety from the risk of Greece's debt crisis spreading to other countries. Spot gold touched a new high of $1,244.45, which marked a nearly 20 percent gain since February.
Source: Interactive Investor
U.S. Secretary of the Treasury Tim Geithner and European Commissioner Michel Barnier
May 12, 2010--U.S. Treasury Secretary Timothy Geithner and European Commissioner Michel Barnier met today and reaffirmed their strong determination to cooperate closely in strengthening the global financial system and in putting in place the G-20 financial reform agenda.
They agreed that the United States and the European Union, as the world's two largest economies and financial systems, have a special responsibility to promote and implement stronger global financial standards, reduce the scope for regulatory arbitrage and work toward greater regulatory convergence.
They reviewed the progress in implementing the G-20 financial regulatory commitments made at the London and Pittsburgh Summits. In particular, they agreed on the importance of reducing systemic risk and the too-big-to-fail problem by raising prudential standards through implementing the G-20 Leaders commitments including: stronger capital and liquidity requirements; a leverage ratio; a global framework for comprehensive regulation of OTC derivatives markets; and stronger crisis management and resolution tools so as to allow regulators to manage the failure of a major firm without exposing taxpayers to losses. They also reaffirmed their support for the G-20 Leaders commitments on accounting convergence.
Secretary Geithner and Commissioner Barnier agreed that in translating internationally agreed principles and standards into their respective markets, both sides should focus pragmatically on achieving broadly equivalent outcomes in the context of their different historical and legal traditions. In reviewing a range of U.S. and EU priority issues, including the Alternative Investment Fund Management Directive, they reaffirmed their support for the principle of non-discrimination and the importance of maintaining a level playing field. Both sides agree that within their respective legal systems and in coordination with the Basel Committee on Banking Supervision, they will work towards a common implementation date in 2011 for the Basel trading book rules.
They agreed to stay in close and regular contact so that the United States and European Union can continue to work together to ensure robust implementation of all of the G-20 commitments, address specific issues that have arisen in the U.S./EU context, and further support and strengthen our ongoing financial market regulatory dialogue.
Source: U.S. Department of the Treasury.
