Market Vectors launches China A-Share ETF investing in SME and high growth stocks

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Market Vectors launches China A-Share ETF investing in SME and high growth stocks

Market Vectors, a US-based provider of exchange-traded funds, has announced the launch of the Market Vectors ChinaAMC SME-ChiNext ETF (CNXT), an innovative new fund providing direct physical A-Share exposure to SME and high growth stocks listed in China. Launched in collaboration with ChinaAMC, one of China’s largest asset managers, the fund is linked to the SME-ChiNext 100 Index, an index tracking the performance of the 100 largest and most liquid stocks listed and trading on the Small and Medium Enterprise (SME) Board and the ChiNext Board of the Shenzhen Stock Exchange.

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Latest news

S&P Dow Jones expands smart beta offering; unveils S&P Quality Indices S&P Dow Jones expands smart beta offering; unveils S&P Quality Indices

S&P Dow Jones Indices, one of the world’s leading providers of indices to ETFs, has unveiled the S&P Quality Indices, a new family of indices tracking “high quality” stocks. The indices are designed to measure the performance of stocks which score well on three fundamental measures of quality: return on equity, accruals ratio and financial leverage ratio. Vinit Srivastava, Senior Director of Strategy Indices at S&P Dow Jones Indices, said: “The launch of the S&P Quality Index family provides investors with a factor-based benchmark that captures the characteristics of high quality companies.”

First Trust, DWA roll out international “Focus Five” ETF First Trust, DWA roll out international “Focus Five” ETF

First Trust has teamed up once again with relative strength experts Dorsey Wright & Associates (DWA), this time to launch an international equity ETF. Listed on Nasdaq, the First Trust Dorsey Wright International Focus 5 ETF (IFV) is based on a systematic momentum strategy index designed to provide exposure to the five First Trust international equity ETFs identified to offer the greatest potential to outperform. Tom Dorsey, President & CEO of DWA, said: “I am excited that we have collaborated with First Trust to bring a second ETF that captures the Dorsey Wright Focus Five methodology and now provides investors with a tactical international equity strategy.”

Canada’s ETF industry set for continued growth Canada’s ETF industry set for continued growth

The Canadian exchange-traded fund industry stood at $70.1 billion in assets under management at the mid-way point of the year, according to a report from BMO Global Asset Management. Assets are up 11.1 percent from year-end 2013, led by fixed income ETFs with more than $2.5 billion of inflows. Rajiv Silgardo, Co-CEO, BMO Global Asset Management: said: “We expect the momentum into ETFs to continue at a rapid pace, as more investors use more ETFs to build better portfolios.”

HuaAn unveils China’s first DAX ETF HuaAn unveils China’s first DAX ETF

HuaAn Asset Management has introduced the HuaAn Germany DAX 30 ETF, China’s first locally domiciled exchange-traded fund to provide exposure to the DAX Index. The ETF, which has been listed on the Shanghai Stock Exchange, means Chinese investors can now access the performance of leading German companies for the first time. Li Qing, CEO of HuaAn, said: “[The fund] opens the door to invest in Germany and EU for China investors. The era of global asset allocation has come to China, and HuaAn aims to be the leading asset management company at home and abroad.”

Equities

Smart beta specialist Ossiam hits $2bn AUM milestone Smart beta specialist Ossiam hits $2bn AUM milestone

Ossiam, a leading European provider of smart beta exchange-traded funds, has revealed that assets under management have surpassed $2 billion. The Paris-based firm, which is an affiliate of Natixis Global Asset Management, was founded 2010 and has quickly established itself as one of the foremost providers of alternative beta strategies. Bruno Poulin, CEO of Ossiam, said: “The alternative-weighted index ETF market has developed considerably since our first fund launches in 2011. This is likely to be a long-term trend. Institutional and retail investors and their advisers have come to realise that alternative beta funds, including ETFs, can add value to their investment portfolios.”

Commodities

Sprott introduces smart beta gold miners ETF Sprott introduces smart beta gold miners ETF

Sprott Asset Management, a Toronto-headquartered precious-metals specialist, has announced the launch of the Sprott Gold Miners ETF (SGDM). Listed on the NYSE, the ETF tracks a smart beta strategy index which seeks to outperform a purely passive, market-capitalization weighted representation of gold stocks. John Wilson, CEO of Sprott, said: “We are committed to developing innovative new products in areas where we can provide value through our expertise and experience.”

Fixed Income

Source and Pimco cross-list short maturity ‘MINT’ ETFs on SIX Swiss Exchange Source and Pimco cross-list short maturity ‘MINT’ ETFs on SIX Swiss Exchange

Source, a European provider of exchange-traded funds, and Pimco, a global investment manager, have cross-listed two of their most popular ETFs on the SIX Swiss Exchange: the Pimco Euro Short Maturity Source UCITS ETF (PJS1) and Pimco US Dollar Short Maturity Source UCITS ETF (MINT). Fabrizio Palmucci, Fixed Income Product Specialist at Source, said: “Since their launch, the two funds have grown to become the largest actively managed fixed income ETFs in all of Europe…The combination of a proven fixed income manager, a successful investment strategy, a relatively low level of risk, all offered in a transparent and highly liquid structure is clearly meeting the needs of European investors.”

Alternatives / Multi-Asset

Barclays Inverse US Treasury Composite ETN Barclays launches inverse US Treasury bond ETN

Barclays has unveiled the Barclays Inverse US Treasury Composite ETN (TAPR), a series of Nasdaq-listed exchange-traded notes designed to help investors position for rising US dollar Treasury yields. The ETN is linked to the Barclays Inverse US Treasury Futures Composite Index, an index tracking the sum of the returns of periodically rebalanced synthetic short positions in equal face values of each of the 2-year, 5-year, 10-year, long-bond and ultra-long US Treasury futures contracts.

ETF and Index News

Effort needed to build ETF brand awareness in Asia Pacific, says Cerulli Associates Effort needed to build ETF brand awareness in Asia Pacific, says Cerulli Associates

The total assets under management of the Asia-Pacific exchange-traded fund space hardly budged in the first four months of 2014, staying at around the US$170 billion mark, according Cerulli Associates. One big challenge that some ETF providers face in many countries in the region is that some names are generally not as well known in the retail space. Thusitha de Silva, Asia editor for Cerulli, said: “Efforts are needed to build brand awareness and to get retail investors to understand the investment philosophies of ETF providers.”