Archive for September 2016
Sep 9th, 2016 |
By Rachael Revesz
State Street Global Investors’ SPDR SSGA Gender Diversity Index ETF (NYSE: SHE) has grown to more than $280m in assets since its launch on International Women’s Day on 8 March 2016, making it one of the most successful ETF launches of year so far. The fund invests in US companies with the most favourable ratios of women to men in executive roles and board positions. David Mazza, head of ETF and mutual fund research at SSGA, said: “Although this may be a small sample size, performance has illustrated that having a bias toward firms with more diverse leadership has led to higher returns with less drawdown in 2016.”
Posted in Equities |
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Tags: Barclays, Equities, ETF and Index News, ETF Industry News, iShares, MSCI, SSGA SPDR, Themes and Strategy, United States and Canada
Sep 8th, 2016 |
By James Lord, CFA
Nuveen, an operating division of TIAA Global Asset Management, has premiered its NuShares ETF platform with the launch of the NuShares Enhanced Yield US Aggregate Bond ETF (NYSE: NUAG). While maintaining comparable risk and credit quality characteristics as the broad US investment grade market, the fund seeks to enhance yield by increasing weights to securities and sectors that, according to a rules-based process, have the potential for higher return. Martin Kremenstein, Managing Director and Head of ETFs at Nuveen, said: “…we have worked diligently to create a product which improves the way to access a core asset class.”
Posted in Fixed Income |
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Tags: Barclays, ETF and Index News, ETF Industry News, ETF Launch, Fixed Income, Themes and Strategy, United States and Canada, WisdomTree
Sep 8th, 2016 |
By James Lord, CFA
New ETF issuer Amplify ETFs has acquired YieldShares in a move that will see the two firms combine their specialist development strategies to launch a range of new, jointly branded ETFs. Amplify ETFs focuses on delivering products targeting niche market segments while YieldShares focuses on income investment strategies. Christian Magoon, CEO and founder of Amplify ETFs and YieldShares, commented: “Making YieldShares a wholly-owned subsidiary of Amplify allows the firm to align our product suite with the brands that best represent the underlying strategies.”
Posted in ETF and Index News |
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Tags: Equities, ETF and Index News, ETF Industry News, ETF Launch, High Income, Themes and Strategy, United States and Canada
Sep 7th, 2016 |
By Rachael Revesz
The European Central Bank is being forced to re-evaluate how it can continue buying €80bn worth of bonds per month when there are less and less on the market with any yield. Germany’s 10-year bund yield has fallen to below zero for the first time in history, prompting Citibank analysts to say that the entire German sovereign market could be off limits for the ECB by November, as it must buy bonds that yield over 0.4%. If the ECB tapers back its bund purchases, this would most likely benefit ETFs tracking the government bonds of France, Spain and Italy as the ECB would buy their bonds instead.
Posted in Fixed Income |
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Tags: DWS Xtrackers, ETF and Index News, ETF Industry News, Europe, Fixed Income, iShares, Themes and Strategy, Vanguard
Sep 7th, 2016 |
By James Lord, CFA
According to the weekly flows report from ETF Securities, investors have increased their holdings of gold and bearish European equity ETPs ahead of the European Central Bank’s policy meeting to take place on Thursday 8 September 2016. Investors channelled $63.2m into their gold ETPs in the week ended 2 September 2016, marking the seventh week of positive inflows for the space, while inflows into short German and Italian equity ETPs surged to their highest level in 11 and 15 weeks respectively.
Posted in Commodities |
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Tags: Boost ETP, Commodities, Equities, ETF and Index News, ETF Industry News, ETF Securities, ETNs and ETCs, Gold and Precious Metals, Source, VanEck Vectors
Sep 6th, 2016 |
By Simon Smith, CFA
Online broker E*Trade has published a study showing how exchange-traded fund preferences vary by age. Based on a survey of 946 self-directed active investors with at least $10,000 in an online account, it found that Millennials are more likely than Baby Boomers to show interest in a range of less mainstream ETFs, including commodity and foreign currency ETFs. Boomers, meanwhile, prefer dividend ETFs over any other type. Similarly, Millennials are interested in style ETFs, such as growth or value, and those focused on different market-cap brackets, such as mid- or small-cap, while Boomers are distinctly less keen.
Posted in ETF and Index News |
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Tags: Commodities, Currencies, Equities, ETF and Index News, Fixed Income, High Income, Smart Beta, Themes and Strategy, United States and Canada
Sep 6th, 2016 |
By James Lord, CFA
Germany-based index provider Solactive has introduced the Solactive Global Ethical Low Volatility AR EUR Index, tracking the performance of global companies with strong environmental, social and governance (ESG) standards and low volatility characteristics. Powered by ratings from Sustainalytics, a leading global analytics firm covering the ESG sector, the index has been designed to serve as the basis for future investable products such as exchange-traded funds. Simon MacMahon, Head of Research at Sustainalytics, said: “Solactive continues to take significant strides to expand the range of ESG products available to investors. We are delighted Solactive chose our research and ratings to power this index.”
Posted in ETF and Index News |
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Tags: Commerzbank, Equities, ESG & Climate, ETF and Index News, ETF Industry News, Global, Smart Beta, Solactive, Themes and Strategy, Volatility
Sep 6th, 2016 |
By Rachael Revesz
Exchange-traded funds tracking Brazilian equities have soared in 2016 with the market on track to be the best performing asset category in 2016, despite ongoing political uncertainty in the country which has recently culminated in the impeachment of the country’s president Dilma Rousseff. The MSCI Brazil is up 32.7% year-to-date (1 September 2016) in local currency terms, contributing to significant gains for ETFs from iShares, Amundi, HSBC and db X-trackers which track the index.
Posted in Equities |
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Tags: Amundi, DWS Xtrackers, Emerging and Frontier, Equities, ETF and Index News, ETF Industry News, HSBC, iShares, Latin America, Lyxor, MSCI
Sep 6th, 2016 |
By James Lord, CFA
PureFunds, in partnership with ETF Managers Group, a white-label services provider, has launched a new ETF targeting the global healthcare technology sector. The PureFunds ETFx HealthTech ETF (Nasdaq: IMED) invests in 60 companies providing transformative technology to the healthcare and medical industries. Andrew Chanin, CEO of PureFunds, commented: “[The ETF] is intended to serve as a vehicle for investors to gain exposure to this highly innovative, technology-driven slice of the broader healthcare sector.”
Posted in Equities |
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Tags: Equities, ETF and Index News, ETF Industry News, ETF Launch, Global, PureFunds, Themes and Strategy, United States and Canada
Sep 5th, 2016 |
By James Lord, CFA
Invesco PowerShares has unveiled its first fixed income product in the European market with the launch of the PowerShares US High Yield Fallen Angels UCITS ETF (LSE: HYFA). The ETF is linked to an innovative time-weighted index from Citi and provides exposure to USD-denominated “Fallen Angel” bonds of North American issuers. It is based on the premise that the overly negative sentiment surrounding a downgrade to junk status causes fallen angels to be regularly oversold. According to Bryon Lake, Head of Invesco PowerShares EMEA, “the [time-weighted] index emphasises the bonds that were most recently downgraded” which “could enhance the return of the ETF by more acutely capturing the ‘fallen angel’ phenomenon.”
Posted in Fixed Income |
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Tags: Barclays, ETF and Index News, ETF Industry News, ETF Launch, Fixed Income, Global, High Yield, Invesco, iShares, Smart Beta, United States and Canada, VanEck Vectors