Archive for March 2017

E*TRADE survey reveals top factors influencing ETF investment decisions

Mar 28th, 2017 | By
Study reveals varying ETF preferences of older and younger investors – Millenials vs Gen X vs Baby Boomers

Investors top concerns when deciding to invest in an ETF are choosing the right ETF, the complexity of an ETF and the tracking difference between the ETF and the underlying index, according to the results of a recent survey by trading platform E*TRADE. The research, conducted in January 2017, sought to look into the minds and behaviours of self-identified experienced investors by featuring 904 active US investors who manage a portfolio of at least $10,000 in an online brokerage account.


Asian asset managers increase their passive capabilities, reports Cerulli

Mar 28th, 2017 | By
UBS launches Asia ex-Japan ETF in London

Global analytics firm Cerulli Associates has reported that an increasing number of Asian asset managers are ramping up their passive capabilities, including providing greater access to strategic beta strategies. The report found this trend is being driven by increasing regulatory scrutiny on fees and the rise of online distribution, including robo-advisory, which is further powering the proliferation of low-cost investing. The findings are supportive of further growth in the region’s ETF industry.


Gold sees strong inflows on dovish Fed hopes, reports ETF Securities

Mar 28th, 2017 | By

ETF Securities’ Gold ETPs recorded their second-highest inflows of the year during the week beginning 20 March, adding $167 million, according to the firm’s latest ETF weekly flows analysis. The London-based commodity ETF specialist has attributed the surge in demand to expectations of Fed dovishness supporting gold prices further.


Copia launches decumulation retirement portfolios built with iShares ETFs

Mar 27th, 2017 | By
Henry Cobbe, Head of Research at Elston Consulting

Copia Capital Management, the discretionary fund management division of Novia Financial, has launched a range of ETF managed portfolios purpose-built for decumulation of assets during retirement. The portfolios are designed to mitigate what is considered to be the key retirement concern – shortfall risk, the risk of running out of money. Henry Cobbe, Head of Copia Capital Management, said: “Decumulation is very different from accumulation. It has different objectives, different risks and requires a different investment approach. We don’t think it is right to recycle old thinking into this new world.”


ProShares launches inverse and leveraged crude oil ETFs

Mar 27th, 2017 | By
ProShares upgrades index behind controversial leveraged oil ETPs

ProShares has launched two new ETFs providing triple leveraged and triple inverse leveraged access to West Texas Intermediate crude oil. The ProShares UltraPro 3x Crude Oil ETF (NYSE: OILU) and ProShares UltraPro 3x Short Crude Oil ETF (NYSE: OILD) track the daily performance of the Bloomberg WTI Crude Oil Subindex, providing 3x and -3x exposure respectively.


VanEck sees value in gold mining stocks

Mar 27th, 2017 | By
VanEck sees value in gold mining stocks

Gold mining equities are currently trading at highly attractive valuations and have the potential to close the gap on the price of gold, according to commentary from VanEck, the provider of the VanEck Vectors Gold Miners UCITS ETF (LON: GDX) and the VanEck Vectors Junior Gold Miners UCITS ETF (LON: GDXJ).


MSCI: Brexit and institutional portfolios

Mar 27th, 2017 | By
Brexit European Union

By Thomas Verbraken, Vice President, Risk and Regulation Research at MSCI.

Ten months after the United Kingdom voted to exit the European Union, the negotiations over the UK’s departure are about to begin. While the process could take up to two years, institutional investors may seek to assess how Brexit may affect their portfolios. Using MSCI’s stress-testing capabilities, we examined three hypothetical scenarios that we summarize as a rough Brexit, a smooth Brexit and a Brexit that benefits the UK.


Euronext and Vigeo partner on CAC 40 corporate governance index

Mar 24th, 2017 | By
Euronext and Vigeo partner on CAC 40 corporate governance index

Euronext and corporate social responsibility ratings firm Vigeo Eiris have launched the CAC 40 Governance Index, a thematic index that rates companies in the CAC 40 Index, the flagship French equity market benchmark, based on their corporate governance performance.


Barron’s 400 ETF increases large cap exposure following semi-annual review

Mar 24th, 2017 | By
Barron’s 400 ETF shifts towards large-caps in biggest rebalance ever

The Barron’s 400 ETF (NYSE: BFOR) has increased its allocation to large-caps following the latest review of the Barron’s 400 Index. Co-created by US financial journal Barron’s, and equity indexing firm MarketGrader, the index tracks 400 US companies with strong financial statements and attractive share prices. Carlos Diez, CEO of MarketGrader said: “While the index still leans towards [mid caps], the increase in large-caps reflects the selective ‘growth at a reasonable price’ opportunities that have opened up in the large company segment.”


Shenzhen and Luxembourg launch new green bond index series

Mar 24th, 2017 | By
Vanguard launches US and international ESG ETFs

The Shenzhen Stock Exchange and the Luxembourg Stock Exchange have launched a green bond index series, including the first Chinese green bond index to provide synchronous quotes between China and Europe. The new index series will act as a market benchmark for the increasingly mainstream green bond market in China, and may serve to underlie future investment products including exchange-traded funds.