Archive for November 2016

Global X launches international ‘SuperDividend’ ETF

Nov 16th, 2016 | By
Jay Jacobs, Head of Research and Strategy at Global X.

Global X Funds has launched the Global X MSCI SuperDividend EAFE ETF (Nasdaq: EFAS), offering equal-weight exposure to the performance of 50 firms listed in either Europe, Australia or the Far East with the highest dividend yields. The fund is the seventh ETF in Global X’s ‘SuperDividend’ suite. Jay Jacobs, Director of Research at Global X, commented: “We see tremendous value in the high dividend segment of developed international markets and we’re proud to offer investors EFAS, which provides efficient exposure to these equities.”


Deutsche launches two strategic beta minimum volatility ETFs

Nov 16th, 2016 | By
Deutsche launches two strategic beta min vol ETFs

Deutsche Asset Management has launched two strategic beta exchange-traded funds which provide access to US and eurozone equities while using a portfolio optimization process to minimize total volatility. Martin Weithofer, Deutsche Asset Management’s Head of Strategic Beta, commented: “The expansion and evolution of our strategic beta suite of products this year, and the launch of our new minimum volatility ETFs, places us in a strong position to become the leading provider of strategic beta ETFs in Europe.”


PIMCO: What do the US elections mean for emerging markets?

Nov 16th, 2016 | By
Gene Frieda, executive vice president and global strategist at PIMCO.

By Gene Frieda, Global Strategist at PIMCO.

For much of 2016, a unique alignment of push and pull factors has driven strong performance in emerging markets (EM). The election of Republican Donald Trump and Republican majorities in the US Congress on 8 November, however, represents a pivot point: These factors may become more divergent and create a more challenging landscape for EM, with the potential for fiscal stimulus in the US, a more hawkish Federal Reserve and protectionist trade policies.


WisdomTree analyses future US-Japan alliance following Trump win

Nov 15th, 2016 | By
WisdomTree: Trump's America & Abe's Japan - Concrete Proposals

By Jesper Koll, Head of Japan for WisdomTree.

Prime Minister Abe is poised to be the first global leader to meet with President-elect Trump, Thursday 17 November 2016, in New York. In our view, the meeting is likely to underscore a strong US-Japan alliance, with possible positive implication for US-Japan economic and financial relations.


Trumpflation: What now for investors?

Nov 11th, 2016 | By
Antoine Lesné, Head of EMEA Strategy & Research for SPDR ETF.

By Antoine Lesne, Head of SPDR ETF Research & Strategy EMEA: “Here we go again. As we saw post the UK’s EU Referendum result, financial markets sold off following Trump’s election win, with risk assets being the main casualty; however, by the end of Wednesday US equities were back in the black and investors took solace in Trump’s statesman-like acceptance speech. It’s only the beginning of the process and, like the Brexit vote, nothing has yet been set in motion from a policy standpoint. We were operating on the basis of ‘known unknowns’ and we are now moving to new ones. Nevertheless, the difference is that after the initial disturbance of the Brexit vote the result was local, while this shock is global and has wider ramifications.”


PIMCO: Mr. Market, Dr. Strangelove and President Trump

Nov 11th, 2016 | By
PIMCO: A new phase in the cold currency war

By Joachim Fels, PIMCO’s global economic advisor: “After a short initial post-election shock, many financial market participants seem to have adopted a Dr. Strangelove attitude (“How I Learned to Stop Worrying and Love the Bomb”) toward the election of Donald Trump…I’m not Dr. Strangelove, and I believe it’s too early to stop worrying. A more differentiated view of the potential long-term economic and policy consequences of President-elect Trump must take on board both the considerable uncertainties still surrounding the next US administration’s economic policies and the global links between economies and markets.”


UBS rolls out S&P 500 ETF with GBP hedging

Nov 11th, 2016 | By
Andrew Walsh, Head of Passive & ETF Specialist Sales for UK & Ireland, UBS Asset Management

UBS has launched the UBS S&P 500 hedged GBP UCITS ETF (LON: USPG), offering exposure to the performance of the bellwether S&P 500 Index, the most widely followed reference for the performance of US large cap stocks, while hedging exposure to fluctuations in the US dollar/British pound exchange rate. Andrew Walsh, Head of UBS ETF Sales UK & Ireland, commented: “The launch of our S&P 500 hedged GBP ETF is particularly timely given recent events in the US and we would expect to see this product gain a fair amount of interest.”


Source’s biotech ETF sees assets surge after US Presidential election

Nov 10th, 2016 | By
Chris Mellor, Head of EMEA ETF Commodity Product Management at Invesco

The Source NASDAQ Biotech UCITS ETF (LON: SBIO) almost doubled in size after the US Presidential elections as Trump’s victory calmed investor fears of tough action on drug pricing and brought investors swarming back to the sector. The fund added $170m of inflows on Wednesday 9 November while strong performance of its constituents contributed to bringing the ETF’s total AUM to over $370m. Chris Mellor, Executive Director, at Source, commented: “Biotech companies stand to benefit not just from looser regulation but also from the potential of a tax holiday on cash repatriation, last seen in 2004.”


Trump wins. How are you positioned?

Nov 9th, 2016 | By
Viktor Nossek , director of research at WisdomTree in Europe.

By Viktor Nossek, Director of Research at WisdomTree Europe: “At last. The long awaited decision on America’s 45th president has been decided. But regardless of whether you were Team Clinton or Team Trump, now’s the time to take a closer look at what you are holding in your portfolio. In the below, we outline our thoughts on positioning for both the short-term and the long-term using Exchange Traded Products (UCITS ETFs and Exchange Traded Notes).”


ETF and mutual fund flows show major differences in third quarter

Nov 8th, 2016 | By
Thomson Reuters Lipper highlights ETF asset classes most at risk of closure

While European investors in both ETFs and mutual funds poured into bonds during the third quarter of 2016 in the search for yield, ETF and traditional active fund flows majorly diverged when it came to equities, alternatives and money markets. Detlef Glow, head of EMEA research at Thomson Reuters Lipper commented: “ETFs are often used as short-term investments to gather exposure to specific markets or asset classes, while mutual funds are rather long-term products, since it takes a while until they are producing the expected alpha from the active management.”