New York-based Global X has expanded its suite of covered call ETFs with a new fund – the Global X Russell 2000 Covered Call ETF (RYLD US) – which targets the small-cap segment of the US equity market. Rohan Reddy, Research Analyst at Global X, commented, “We are thrilled to be able to offer investors the opportunity to utilize a covered call strategy on the premier small-cap benchmark index, the Russell 2000. We believe RYLD is a great complement to our other covered call offerings, as investors continue to look for alternative sources of income.”

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

US equities’ nearly 17% gain year-to-date has occurred against a 12% decline in trading volumes compared with the first four months of last year and a 7% decline compared with all of 2018. This underscores why many are referring to the current environment as a “low participation rally.”

Iowa-headquartered Principal Financial has launched the Principal Ultra-Short Active Income ETF (USI US) on NYSE Arca, providing actively managed exposure to high-quality bonds with low duration.

Japan Exchange Group, the owner of the Tokyo Stock Exchange, and Shanghai Stock Exchange have announced they are collaborating on the “Japan-China ETF Connectivity”, a scheme for linking the ETF markets of both exchanges. Akira Kiyota, Japan Exchange Group CEO, said, “We will continue to collaborate with Shanghai Stock Exchange on this scheme and other ways to increase cross-border investment flows between China and Japan as we contribute to the continued development of the capital markets of both our countries.”

Nomura Asset Management has launched the Next Nomura Shareholder Yield 70 ETF (2529 JP) on Tokyo Stock Exchange. The fund offers passive exposure to Japanese equities that are providing a high level of return through dividends and share buybacks.

By Danielle Rutsky, Analyst for the DWS ETF Capital Markets team.

If you quickly look at a list of ETFs that are focused on China, you may think their baskets all represent mainly the same exposure, but you would be mistaken.

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

In an understandable attempt to measure market risk and sentiment, investors frequently turn to soft-data confidence polls or the CBOE Volatility Index (VIX Index), which is based on S&P 500 Index options. While these traditional tools can be helpful, we believe any risk-monitoring toolkit can be strengthened with the addition of high-frequency volatility data from the ETF options market.

By Karen Schenone, Fixed Income Product Strategist, BlackRock.

Every April 22, millions of people celebrate Earth Day by finding ways to make more sustainable choices in their lives. If you’re one them, don’t forget to look at your bonds.

China’s ETF market is poised to experience robust growth over the next year, according to research from ETF custodian and administrator Brown Brothers Harriman (BBH). Chris Pigott, Senior Vice President, BBH Hong Kong, commented, “ETFs are becoming an increasingly important component of institutional investors’ portfolios across the region. Looking forward, regulatory development and enhanced ETF market infrastructure are areas of focus that will provide the foundation to support the expected growth.”

New York-based IndexIQ has announced that the IQ Merger Arbitrage ETF (MNA US), which provides returns similar to merger arbitrage hedge funds, has surpassed $1 billion in assets under management. Jon Zimmerman, Chief Operating Officer of IndexIQ, commented, “IndexIQ was founded with the belief that investment management needed to be democratized, allowing investors and advisors of all types to access institutional-quality strategies.”