The global bond ETF industry achieved its best quarter on record with $44.5 billion of inflows during Q1 2017, according to analysis by BlackRock. Stephen Cohen, head of fixed income beta at BlackRock, highlighted some of the global trends seen in the space since the start of the year, including strong appetite for investment grade credit, emerging market debt and Treasury bond funds.
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Market maker Virtu Financial has announced it has entered into a definitive agreement to acquire KCG Holding. The deal, worth around $1.4 billion, has been unanimously approved by the directors of each company.
Toroso Investments and white label ETF platform Exchange Traded Concepts, have launched the ETF Industry Exposure & Financial Services ETF (NYSE: TETF), providing access to companies driving growth in the ETF industry. Mike Venuto, CIO of Toroso Investments, commented: “[The ETF] is aimed toward capturing not only the established leaders in each area, but also those firms that might be new to the space but are bringing exciting approaches that could resonate with investors and drive further growth of the industry itself.”
UBS Asset Management has reduced the total expense ratio (TER) on the UBS ETF Barclays TIPS 1-10 UCITS ETF (LON: UBTS) with the new pricing effective from 1 April 2017. The fund offers investors inflation risk mitigation by tracking US Treasury Inflation-Protected Securities (TIPS).
Canada-based Mackenzie Investments has received final approval from securities regulators to launch a fixed income ETF on Aequitas NEO Exchange. The Mackenzie Global High Yield Fixed Income ETF (MHYB) will be the fifth fund in Mackenzie Investment’s series of active fixed income ETFs and is expected to begin trading on 26 April 2017.
BlackRock Inc, the world’s biggest asset manager, on Wednesday reported double-digit profit gains as investors plowed money into lower-cost index funds, but the company’s share price slipped as revenue fell short of analysts’ expectations.
VictoryShares, the exchange-traded fund brand of US-based asset manager Victory Capital, has launched a new ETF providing exposure to US large-cap equities that are forecast to have growing dividends.
By Jamil Baz, managing director and global head of client analytics, PIMCO.
Ask an investor if most active bond funds outperform their passive counterparts and the response is likely to be “no”. After all, if one investor beats the market, another must lag it. Active strategies incur higher fees, so the majority should underperform their lower-fee passive counterparts. Our research suggests otherwise – at least for bonds, if not for stocks.
BNP Paribas has rolled out eight new exchange-traded commodities on Deutsche Börse’s Xetra and Frankfurt exchanges. The ETCs track indices from the Rogers International Commodity Enhanced Indices family, giving investors access to the performance of industrial and precious metals as well as to the energy sector.
Manulife Investments and Dimensional Fund Advisors have launched a suite of proprietary multi-factor ETFs on Toronto Stock Exchange, targeting Canadian, US, and international equity exposures.