Archive for 2012

STOXX unveils new global blue-chip index

Sep 4th, 2012 | By
STOXX unveils new global blue-chip index, the STOXX+ Global Max Traded 200 Index

STOXX has announced the introduction of the STOXX+ Global Max Traded 200 Index. The new index applies an advanced set of screens to ensure that only the largest and most frequently traded companies worldwide are included, while at the same time offering a wide global diversification. The STOXX+ Global Max Traded 200 Index is geared towards active trading purposes and has been designed to act both as a proper benchmark for actively managed funds, and to underlie exchange-traded funds (ETFs) and other investable products.


Deutsche Bank launches first tradable index tracking core US inflation

Sep 4th, 2012 | By
db X-trackers lists first physically replicated ETFs

Deutsche Bank has announced the launch of the DB Core US CPI Index (Bloomberg ticker: DBLNCPI, Reuters RIC: DBLNCPI), the first tradable index that tracks core inflation. The DB Core US CPI Index, tradable on an over-the-counter basis, is designed to track the Core Consumer Price Index (CPI).


Long euro, short Australian dollar ETC could be about to bounce

Sep 4th, 2012 | By
VanEck lists AUD-hedged version of global quality ETF in Australia

Daniel Green, a currency strategist at JP Morgan Asset Management in London, recently made the case for a tactical short-term long position in the euro versus the Australian dollar. One potential way to play this is via ETF Securities’ ETFS Short AUD Long EUR ETC (XNJK). This ETC tracks the MSFX Short Australian Dollar/Euro Total Return Index and provides short exposure to movements in exchange rate between AUD and EUR.


LGIM Commodity Composite Source ETF surpasses $150m in assets

Sep 3rd, 2012 | By
Largest oil ETF to revert to pre-covid strategy

The LGIM Commodity Composite Source ETF (LGCU), a broad-based commodity exchange-traded fund, has accumulated more than $150 million in assets since its launch in January this year, according to a statement from the fund’s sponsors, Legal & General Investment Management (LGIM) and Source. Commenting on the milestone, Stefan Garcia, Head of commodity sales at Source, said: “The success of this product supports both the value of optimised indices, counterparty risk diversification and the role of LGIM as index manager.”


Financial advisers and investors struggling to prepare for RDR

Sep 3rd, 2012 | By
Financial advisers and investors struggling to prepare for RDR

Financial advisers and investors are struggling to prepare for the imminent impact of new regulations under the Financial Service Authority’s Retail Distribution Review (RDR), a BlackRock-commissioned survey of advisers has found. From January next year, investment advice will become fee-based, replacing commissions advisers previously received from product providers. However, 61 percent of advisers said they did not feel prepared for RDR, with 87 percent admitting they had not finalised future client propositions.


First Trust launches CBOE S&P 500 VIX Tail Hedge ETF (VIXH)

Sep 3rd, 2012 | By
First Trust launches CBOE S&P 500 VIX Tail Hedge ETF (VIXH)

First Trust Advisors, a US-based investment manager, has announced the launch of the First Trust CBOE S&P 500 VIX Tail Hedge ETF (VIXH), an S&P 500-tracking exchange-traded fund (ETF) with an inbuilt insurance mechanism to help protect against extreme market swings. The NYSE-listed fund employs a tail-hedging strategy which utilises call options on the CBOE Volatility Index (VIX) in an attempt to offset some of the potential losses associated with extreme unexpected events, so-called “black swans”.


Investors buy gold ETFs in anticipation of QE3

Aug 29th, 2012 | By
The fund will become GSAM's first commodity ETF.

The price of gold reached $1,674 per ounce last week – a four-month high, and a 4% gain for the week – as a result of speculation concerning a third round of quantitative easing in the US and further accommodative monetary policy in Europe. With central banks on both sides of the Atlantic seemingly preparing to fire up the printing presses, investors have been turning to physically-backed gold exchange-traded funds (ETFs), such as SSgA’s $69 billion SPDR Gold Shares ETF (GLD), to preserve their wealth.


Emerging markets healthcare ETFs to benefit from growing wealth and government spending

Aug 29th, 2012 | By
KraneShares launches emerging markets healthcare ETF

Amid growing wealth and increased government spending, pharmaceuticals, medical technology and health infrastructure have been highlighted as attractive investments in emerging markets. For investors seeking broad exposure to emerging markets healthcare, a number of exchange-traded funds (ETFs) fit the bill. Moreover, many of these funds, such as the db x-trackers MSCI Emerging Markets Healthcare TRN Index ETF (XMEH) and the EGShares Health Care GEMS ETF (HGEM), have been strong performers this year, demonstrating the potential of the sector.


US house prices continue to rise; positive for homebuilder ETFs

Aug 29th, 2012 | By
Equal weight approach more popular than ever, ten years after S&P 500 EWI and ETF debut

The S&P/Case-Shiller Home Price Index showed that US home prices gained in the second quarter, and for the fifth straight month. David M. Blitzer, Chairman of the S&P Dow Jones Index Committee, said: “We seem to be witnessing exactly what we needed for a sustained recovery: monthly increases coupled with improving annual rates of change.” This represents yet more good news for US homebuilder ETFs, which have already enjoyed outstanding performance so far this year.


Growth and income ETFs drive AUM higher at Canada’s BMO Financial Group

Aug 29th, 2012 | By
Growth and income ETFs drive AUM higher at Canada's BMO Financial Group

Canada’s BMO Financial Group has announced that its exchange-traded fund (ETF) business has surpassed C$7 billion in assets under management (AUM) and has grown by C$1 billion (16 percent) in the last two months alone. “Our recent success has been driven by flows into ETFs which combine growth with attractive income,” said Kevin Gopaul, Chief Investment Officer and Senior Vice President, BMO Asset Management.