Latest news

BNP Paribas launches defensive European high yield bond ETF

BNP Paribas launches defensive European high yield bond ETF

BNP Paribas has launched a new ETF offering exposure to the European high yield corporate bond market while hedging against market downturns through the use of a protective put strategy.

Bernstein launches two ETFs based on in-house research

Research house Bernstein unveils debut ETFs

Sell-side research and brokerage firm Bernstein has waded into the ETF market with the launch of a pair of equity ETFs tracking global or US stocks selected based on the firm’s own proprietary research. Robert van Brugge, chairman and CEO of Bernstein said, “With these ETFs, investors can assess our insights directly at a competitive price and in a convenient format.”

Boost for Dow ETFs as index passes 23,000

Boost for Dow ETFs as index passes 23,000

Investors in ETFs that track the Dow Jones Industrial Average (DJIA) have enjoyed a year of incredibly strong performance and were again celebrating as the index closed over 23,000 for the first time on 18 October 2017. The index, which celebrated its 120-year anniversary in 2016, has risen 30.4% in the 12 months to 18 October compared to the 21.9% returned by the S&P 500 Index over the same time period.

Principal launches two US single factor ETFs

Principal launches two US single factor ETFs

Iowa-headquartered Principal Financial has rolled out two new single factor ETFs, expanding the firm’s smart beta line-up of funds. The new launches target large- and mid-cap US equities with strong value and momentum characteristics.

IndexIQ goes active with two municipal bond ETFs

IndexIQ goes active with two municipal bond ETFs

IndexIQ has begun its foray into the actively managed ETF space with the launch of two new funds targeting the municipal bond market. Salvatore Bruno, IndexIQ CIO, said: “We expect that these new products will allow more investors to gain the benefits of exposure to this complex, yet important, sector of the bond market.”

Factor allocation ETFs drive European smart beta flows in Q3, finds Lyxor

Factor allocation ETFs drive European smart beta flows in Q3, finds Lyxor

The European smart beta ETF market had modest inflows of €555 million in Q3 2017, according to research from Lyxor, with factor allocation ETFs enjoying the bulk of inflows with €1.1 billion. The strong flows into factor allocation ETFs represent more than a 50% increase on Q2 flows of €719m.

Amundi lists distributing share class of Euro Stoxx 50 ETF on Xetra

Amundi lists distributing share class of Euro Stoxx 50 ETF on Xetra

Amundi has listed an income-distributing share class for its Amundi Euro Stoxx 50 UCITS ETF on Deutsche Börse’s Xetra and Frankfurt Exchanges. The new trading line complements the existing accumulating version currently listed on the Exchange.

Equities

Principal launches US mega-cap low-vol ETF

Principal launches mega-cap low-vol ETF

Iowa-headquartered Principal Financial has launched a new smart beta ETF tracking the performance of US mega-cap equities with a tilt toward lower volatility stocks. Paul Kim, managing director of ETF strategy, Principal Global Investors, commented: “Everyone likely has domestic large-cap equity exposure. USMC provides a more efficient way to get that exposure with potentially better risk-adjusted returns.”

Active Weighting Funds launches three politically-focused ETFs

EventShares launches US policy ETFs

EventShares, the ETF brand of Active Weighting Funds, has launched three new actively managed ETFs on the Bats Exchange. The Republican Policies Fund (GOP), the Democratic Policies Fund (DEMS) and the US Tax Reform Fund (TAXR) select their holdings based on US government policy themes and can take long or short positions in US securities.

Commodities

S&P DJI: Diwali gold buying may be the safest since 1996

S&P DJI: Diwali gold buying may be the safest since 1996

By Jodie Gunzberg, head of commodities indices, S&P Dow Jones Indices.

In light of the gold buying tradition for the upcoming Diwali festival in India, many might be wondering how valuable their gifts may be based on the price of gold. Several factors influence the price of gold that make timing gold as an investment difficult; however, now there might be upside potential for gold, especially since its volatility is so low.

BNP Paribas lists currency hedged commodity ETF on XETRA

BNP Paribas lists currency-hedged commodity ETF on Xetra

BNP Paribas has launched a currency-hedged commodity ETF, offering exposure to a diversified portfolio of futures contracts on energy and metal commodities, while hedging currency exposure between the US dollar and the euro.

Fixed Income

PowerShares Source rolls out new euro bond ETF in partnership with PIMCO

PowerShares rolls out eurozone HY bond ETF in partnership with PIMCO

Invesco PowerShares has unveiled a eurozone short-term high yield ETF to complement its existing $1.2 billion US-focused product. Launched in partnership with fixed income specialists PIMCO, the ETF is likely to appeal to investors who are seeking higher income than they can get from government or investment grade corporate bonds.

Columbia Threadneedle launches smart beta fixed income ETF

Columbia Threadneedle launches smart beta fixed income ETF

Columbia Threadneedle has launched the Columbia Diversified Fixed Income Allocation ETF (NYSE Arca: DIAL), building out its smart beta ETF suite. DIAL provides a global multi-sector strategy, which is designed to serve as a core bond allocation. Marc Zeitoun, head of strategic beta at Columbia Threadneedle, commented: “DIAL’s disciplined process is designed to seek more sources of income and avoid the overconcentration found in traditional fixed income benchmarks.”

Alternatives / Multi-Asset

Lion Global and Phillips launch first Singapore REIT ETF

Lion Global and Phillip launch first Singapore REIT ETF

Lion Global Investors and Phillip Capital Management, two Singapore-based asset managers, have teamed up to launch the first ETF to focus entirely on Singapore real estate investment trusts (REITs). The Lion-Phillip S-REIT ETF will trade on the Singapore Exchange and will track the Morningstar Singapore REIT Yield Focus Index.

Nicolas Samaran, Head of Innovative Product Development at Invesco PowerShares

Invesco PowerShares launches Europe’s first preferred shares ETF

Invesco PowerShares has launched the first ETF in Europe to offer targeted exposure to preferred shares. The PowerShares Preferred Shares UCITS ETF (PFRD) is linked to the BofA Merrill Lynch Diversified Core Plus Fixed Rate Preferred Securities Index and has been listed on the London Stock Exchange. Nicolas Samaran, head of innovative product development at Invesco PowerShares, said: “With interest rates and bond yields at all-time lows, investors have really struggled to generate meaningful income. Preferred shares provide yields comparable to high-yield bonds, but from securities issued typically by more well-known companies.”

ETF and Index News

TD Ameritrade unveils largest commission-free ETF program

TD Ameritrade unveils largest commission-free ETF program

Nebraska-based brokerage firm TD Ameritrade has announced a major increase in the scope of its commission-free ETF trading platform, tripling the number of ETFs available from 100 to 296. The expansion means TD Ameritrade now offers the largest commission-free ETF trading program in the industry.

Evolve Funds rolls out three new ETFs in Canada

Evolve Funds rolls out three new ETFs in Canada

Toronto-based asset manager Evolve Funds has launched three new ETFs in Canada, including two actively managed funds providing exposure to US equities and short duration bonds, and one index-linked ETF tracking US banking stocks. Each fund has been listed on the Toronto Stock Exchange.