Archive for October 2012

Boost ETP set to energize European ETF market

Oct 31st, 2012 | By
WisdomTree to expand into Europe via acquisition of Boost

Boost ETP announced its launch on Wednesday, becoming the latest entrant in the fast-growing European exchange-traded products (ETP) market. The firm’s ambition to carve out a niche as a purveyor of more exotic products looks set to further energize the European market. The firm’s founders, Hector McNeil and Nik Bienkowski, have been active in the European ETP market since its genesis and were both formerly Managing Partners at ETF Securities, where they helped grow assets from just $50 million to $22 billion by the time they left.



Surveys point to increasing ETF usage among financial advisers

Oct 30th, 2012 | By
Betterment adds CFP Professional access to digital investment offering

Almost four-fifths (78%) of financial advisers plan to increase their use of exchange-traded funds (ETFs) in retail investors’ portfolios over the next year, according to a poll carried out by Guggenheim Investments at Morningstar’s ETF Invest Conference in Chicago. The findings corroborate a recent survey by Invesco, which showed that advisers expect ETFs to make up 24% of portfolio allocations over the next 12 months and 33% over the next three years – an increase of 10% on the figure reported last year.



FTSE establishes ETP service unit in anticipation of accelerating growth

Oct 30th, 2012 | By
FTSE Russell launches emerging markets and Latin America sustainability indices

FTSE Group has established a dedicated exchange-traded products (ETP) service unit, as investors increasingly turn to ETPs in their search for low-cost, transparent investment solutions. “As one of the world’s largest index providers, we are determined to significantly increase our share of the global ETP benchmark market,” says Mark Makepeace, CEO, FTSE Group. “The creation of FTSE’s new dedicated ETP Service Unit is the latest step in a strategy designed to deliver the best possible index and service solutions to our clients globally.”



Professional ETF buyers look to diversify among product providers, reveals HSBC survey

Oct 30th, 2012 | By
Amundi, one of Europe’s leading providers of exchange-traded funds, has a launched a new ETF designed to offer broad access to European equities but without exposure to financial companies. Listed on the NYSE Euronext Paris, the Amundi ETF MSCI Europe Ex Financials (EUXF) tracks the MSCI Europe Ex Financials Index, an index which specifically excludes banks, insurers, real estate and diversified financial companies.

More than a quarter of professional buyers of exchange-traded funds (ETFs) expect to widen the range of ETF providers they use over the coming three years, according to a survey commissioned by HSBC Global Asset Management. The report supports the assertion that the European ETF buying community wants to diversify across a wider range of providers, with 74% of respondents asserting they would not allocate any more than 20% to one provider, with the average allocation being 15.5%.



UBS launches ETN with high income potential and leveraged exposure to mortgage REITs

Oct 30th, 2012 | By
UBS cross-lists six GBP-hedged equity ETFs on SIX

Earlier this month, UBS Investment Bank expanded its ETRACS suite of exchange-traded notes (ETNs) with the launch of a note that is linked to the 2x leveraged performance of a portfolio of mortgage REITs. “This ETN is designed for investors who seek a high yield and are bullish on the mortgage REIT sector,” said Paul Somma, Executive Director and Senior ETRACS Structurer.



Vanguard Australia introduces new fixed income ETF

Oct 30th, 2012 | By
Market Vectors makes ETF debut on ASX

Vanguard is to expand its Australian ETF range with the launch of the Vanguard Australian Fixed Interest Index ETF (VAF).The fund is expected to commence trading on the Australian Securities Exchange (ASX) shortly. The fund will track the UBS Composite Bond Index, an index designed to measure the performance of over 350 high-quality bonds issued by the Commonwealth Government of Australia, Australian semi-government entities, supranational and sovereign entities and corporates.



SSgA SPDR launches global real estate ETF

Oct 29th, 2012 | By
Nuveen launches US short-term REIT ETF

SPDR ETFs, the exchange-traded funds platform of State Street Global Advisors (SSgA), has expanded its European offering with the launch of the SPDR Dow Jones Global Real Estate ETF (GBRE). The fund, which has been listed on the London Stock Exchange and Deutsche Börse, tracks the Dow Jones Global Select Real Estate Securities Index and offers exposure to the performance of publicly traded real estate securities, including real estate investment trusts (REITs) and operating companies, in both developed and emerging market countries.



Amundi ETF offers access to Japan’s Topix with inbuilt euro/yen hedge

Oct 29th, 2012 | By
Amundi ETF offers access to Japan’s Topix with inbuilt euro/yen hedge

Amundi has announced the launch of the Amundi ETF Topix EUR Hedged Daily (TPXH), a fund designed for euro-based investors seeking exposure to the Japanese equity market, but who are concerned about the impact of currency risk. The fund, which is referenced to the Topix Total Return Euro Daily Hedged Index, offers investors access to Japan’s Topix equity index with a hedge of the euro/yen exchange rate.



Smart beta gains traction as SSgA SPDR lists value and momentum ‘tilt’ ETFs

Oct 29th, 2012 | By
First Trust rolls out European smart beta ETFs to Swiss Exchange

SSgA’s has listed two new SPDR ETFs on the NYSE Arca: the SPDR S&P 1500 Value Tilt ETF (VLU) and the SPDR S&P 1500 Momentum Tilt ETF (MMTM). The new funds offer investors an opportunity to access potential sources of outperformance by tracking alternatively-weighted, so-called ‘smart beta’, indices.



NYSE Euronext expands index range with launch of low-risk CAC and AEX indices

Oct 24th, 2012 | By
NYSE Euronext expands index range with launch of CAC and AEX low-risk indices © Perpetualtourist 2000

NYSE Euronext has expanded its range of indices with the launch of the CAC and AEX Low Risk indices. These alternatively-weighted benchmarks are based on successful national blue-chip indices and offer new investment possibilities for investors and exchange-traded fund (ETF) providers. With the introduction of these indices, NYSE Euronext is responding to growing demand from investors for smart risk-controlled products, and follows rival index providers including FTSE, MSCI, STOXX and S&P Dow Jones, who have all introduced low-volatility indices.