Florence Narine, Senior Vice-President, Head of Product, AGF.

Latest news

AGF launches liquid alternative ETFs on TSX

AGF Investments has launched two liquid alternative ETFs on Toronto Stock Exchange: the AGFiQ US Market Neutral Anti-Beta CAD-Hedged ETF (QBTL CN) and the AGFiQ US Long/Short Dividend Income CAD-Hedged ETF (QUDV CN). The funds provide exposure to market-neutral and long/short strategies focused on capturing beta and income spreads present in the US equity market. Florence Narine, Senior Vice-President and Head of Product at AGF Investments, commented, “We believe alternative investments are fundamental building blocks for well-constructed portfolios, helping investors diversify their sources of risk and returns”.

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Latest news

BlackRock cross-lists China equity and bond ETFs on SIX Swiss

BlackRock cross-lists Chinese equity and bond ETFs on SIX Swiss Exchange

BlackRock has cross-listed two China-focused ETFs – one equity, one fixed income – on SIX Swiss Exchange. The equity ETF, iShares MSCI China UCITS ETF (ICHN SW), provides broad exposure to multiple Chinese share classes, while the fixed income fund, iShares China CNY Bond UCITS ETF (CNYB SW), targets renminbi-denominated government and policy bank bonds issued in China.

WisdomTree cross-lists growth-tilted cloud computing ETF on Borsa Italiana

WisdomTree cross-lists growth-tilted cloud computing ETF on Borsa Italiana

WisdomTree has cross-listed the WisdomTree Cloud Computing UCITS ETF on Borsa Italiana. The thematic equity ETF provides exposure to a globally diversified portfolio of high-growth companies that are poised to benefit from developments in cloud computing.

Jonathan de St. Paer, President of Charles Schwab Investment Management

Charles Schwab rolls out three low-cost fixed income ETFs

Charles Schwab Investment Management has launched three new ETFs in the US, providing low-cost access to core fixed income exposures. Two of the ETFs track the USD corporate bond market, targeting the front and middle segments of the yield curve, while the third provides exposure to the far end of the US Treasury yield curve. Each of the funds is linked to a Bloomberg Barclays index and comes with an expense ratio of just 0.06%. Jonathan de St. Paer, President of Charles Schwab Investment Management, commented, “Investors are increasingly looking to bond ETFs as a potential source of diversification, liquidity, and income, particularly in this time of heightened stock market volatility.”

Fabrizio Zumbo, Associate Director, European Asset Management Research, Cerulli.

Fixed income products dominating European ETF inflows

Fixed income products accounted for more than 90% of European ETF industry net inflows in the first half of 2019, according to financial research firm Cerulli Associates. The asset class also recorded its highest-ever quarterly inflows in Q1 2019, raking in €18.5 billion in net new assets over that period. Fabrizio Zumbo, Associate Director, European Asset Management Research at Cerulli, commented, “Bond ETFs continue to gain traction. Bond ETF assets grew strongly in the first half of 2019, from €162.5bn to €200.7bn. This was on the back of a more than 7% increase in bond ETF assets during 2018.”

Fixed Income

Making the grade: How risky are BBB bonds?

Making the grade: How risky are BBB bonds?

By Karen Schenone, Fixed Income Product Strategist, BlackRock.

Economic uncertainty has increased investor focus on the possibility of BBB-rated bonds being downgraded to junk. Investors should weigh this risk with their search for yield.

Lyxor launches green bond ETF with ESG screen

Lyxor launches green bond ETF with ESG filter

Lyxor has expanded its green bond offering with the launch of the Lyxor Green Bond ESG Screened (DR) UCITS ETF (XCO2 GY). The fund is Lyxor’s second ETF to focus on the investment-grade green bond market. Listed on Xetra, the fund differs from its debut green bond ETF, the €132m Lyxor Green Bond UCITS ETF (CLIM LN), by incorporating an environmental, social, and governance (ESG) screen to exclude issuers in violation of the principles of the UN’s Global Compact or operating in controversial areas such as tobacco, alcohol, weapons, nuclear energy, and fossil fuels.

Alternatives / Multi-Asset

Amun launches bitcoin/ethereum crypto asset ETP on SIX Swiss

Amun launches bitcoin/ethereum crypto asset ETP on SIX Swiss

Amun, a Switzerland-based issuer of exchange-traded products linked to crypto assets, has announced the launch of the Amun Bitcoin Suisse BTC/ETH ETP (ABBA SW) on SIX Swiss Exchange. The ETP provides exposure to a basket of bitcoin and ethereum and is the first crypto ETP in Switzerland to be listed in Swiss francs. Hany Rashwan, Co-Founder and CEO of Amun, commented, “The Amun Bitcoin Suisse BTC/ETH ETP was designed for the Swiss by the Swiss to answer a need for a CHF-denominated ETP. It represents a unique way for investors to add the two major cryptocurrencies globally to their portfolio via a regulated product listed on SIX and backed by a Swiss-based custodian.”

IndexIQ partners with Nasdaq Dorsey Wright on liquid alternative ETF model

Jon Zimmerman, Chief Operating Officer at IndexIQ

IndexIQ, in partnership with Nasdaq Dorsey Wright, has launched the IQ Alternative Allocation Model. The model provides advisors with an absolute return strategy built around IndexIQ’s suite of liquid alternative ETFs and powered by Nasdaq Dorsey Wright’s relative-strength expertise. Jon Zimmerman, Chief Operating Officer at IndexIQ, commented, “We are delighted to partner with Nasdaq Dorsey Wright to leverage their unparalleled methodology alongside our established expertise in liquid alternative ETFs to offer advisors and their clients lower-cost, innovative hedge fund strategies in a unique investment model.”

Commodities

SSGA’s ‘MiniShares’ gold ETF surpasses $1bn AUM

Matthew J Bartolini, Head of SPDR Americas Research

State Street Global Advisors (SSGA) has announced that its SPDR Gold MiniShares Trust (GLDM US) has surpassed $1 billion in assets under management, less than 15 months after the ETF’s debut on NYSE Arca in June last year. Matthew Bartolini, Head of SPDR Americas Research at State Street Global Advisors, commented, “Our low-cost gold ETF with a share price hovering around $15, GLDM has resonated with financial advisors, digital advice platforms, and buy-and-hold retail investors.”

IHS Markit launches first global carbon credit index

IHS Markit launches first global carbon credit index

Global information provider IHS Markit has unveiled the IHS Markit Global Carbon Index, the first index to track the weighted average price of carbon credits globally. Sophia Dancygier, Managing Director and Head of Indices at IHS Markit, commented, “The IHS Markit Global Carbon Index creates a valuable new benchmark for corporations, investors, and financial services firms, all of which have to navigate the emerging but increasingly important markets for carbon credits.”

Equities

MSCI: Is Europe more than the sum of its parts?

Jean-Maurice Ladure, Executive Director, Head of Equity Solutions Research, EMEA at MSCI.

By Jean-Maurice Ladure, Executive Director, Head of Equity Solutions Research, EMEA at MSCI.

European stock markets are very diverse: Some are large, some are small, but they all have unique histories and characteristics. In this blog post, we examine the pros and cons of investing in European stocks on a regional basis or by individual country via hypothetical index-based strategies.

Value investing redefined for the new era of intangible assets

Susan Avarde, co-Founder of Brandometry

By Susan Avarde, Co-Founder of Brandometry.

It is popular to describe the modern economy as the second industrial revolution. However, at Brandometry we prefer to call it the second renaissance because the impact of technology has resulted in the reinvention of almost everything, and that is especially true when it comes to value creation.

A multifactor approach to developed equity markets

A multifactor approach to developed equity markets

By Alejandro Saltiel, Associate Director of Modern Alpha, and Brian Manby, Investment Strategy Analyst, WisdomTree.

International equity markets have made headlines this year for all the wrong reasons. But just because lackluster performance and looming uncertainty have become the status quo in developed markets doesn’t mean investors need to acquiesce and hold on for the ride.

ETF and Index News

MSCI rolls out new ‘megatrend’ equity indices

MSCI rolls out new ‘megatrend’ equity indices

MSCI has launched five new ‘megatrend’ equity indices. Based on the global MSCI ACWI universe, the new indices track companies aligned with the themes of smart cities, digital economy, future mobility, disruptive technology, and millennials. Stephane Mattatia, Head of Index Products EMEA and Global Thematic Index Products at MSCI, commented, “It is widely acknowledged that there are a number of megatrends which will significantly impact the global economy and societies around the world, and we’re seeing increasing demand from investors seeking to align their investments to these long-term themes. This new suite of indexes provides them with the tools they need to assess and measure these structural trends.”

ETFs vs. mutual funds: Who wins the capital gains fight?

ETFs vs. mutual funds: Who wins the capital gains fight?

By Matthew J. Bartolini, Head of SPDR Americas Research, State Street Global Advisors.

It’s that time of year again. No, not the time when everything gets “pumpkin-fied,” but rather the time when investors start making tax-related portfolio decisions. While this year’s tax-loss harvesting may not be as bountiful as last year’s, given the positive market returns for both stocks and bonds, there is still reason to ascertain the current tax efficiency of a portfolio.

SEC adopts “ETF Rule” in boost to industry

Jay Clayton, chairman of the SEC.

The U.S. Securities & Exchange Commission has voted to adopt a new rule – dubbed the “ETF Rule” – that is designed to establish a clear and consistent framework for the vast majority of ETFs. Jay Clayton, Chairman of the SEC, commented, “As the ETF industry continues to grow in size and importance, particularly to Main Street investors, it is important to have a consistent, transparent, and efficient regulatory framework that eliminates regulatory hurdles while maintaining appropriate investor protections.”