BMO Global Asset Management is to withdraw from the European ETF market. In a letter to shareholders in its ETFs, the asset manager announced its intention to close all of its London-listed ETFs and cease managing ETFs domiciled in Europe. It said the decision was based on a variety of factors, including the current level of assets under management and projected asset growth in the current market environment. The ETF closures raise some important questions with respect to fund due diligence and issuer viability.

The U.S. Securities and Exchange Commission has granted preliminary exemptive relief to asset managers T. Rowe Price, Fidelity and Natixis and turnkey ETF provider Blue Tractor to offer semi-transparent exchange-traded funds. The relief paves the way for the firms to issue ETFs that employ an actively managed investment approach without being subject to a daily portfolio transparency condition.

Fidelity Investments has launched a new ETF – the Fidelity Stocks For Inflation ETF (FCPI US) – providing multifactor exposure to US equities while emphasizing industries that have historically outperformed in periods of rising inflation. The fund has listed on Cboe BZX and comes with an expense ratio of 0.29%. Colby Penzone, Head of Investment Product at Fidelity Investments, commented, “At a time when other financial services firms may be scaling back, Fidelity remains a market leader, focused on innovating in all aspects of our business.”

Fidelity Investments Canada has launched five new fixed income ETFs on Toronto Stock Exchange, including one index-linked fund and four actively managed funds.

Fidelity International has launched new share classes for two of its smart beta ETFs listed on London Stock Exchange and Deutsche Börse. The Fidelity Europe Quality Income UCITS ETF and Fidelity Emerging Markets Quality Income UCITS ETF provide exposure to high-quality companies with attractive dividend yields within the European and emerging markets universes, while the new share classes distribute income to investors on a quarterly basis.

Fidelity Investments Canada has launched a new ETF – the Fidelity Sustainable World ETF (FCSW CN) – on Toronto’s NEO Exchange. The actively managed fund seeks long-term capital appreciation by investing in an ESG-focused portfolio of global stocks with asset allocation driven by a multifactor model.

Fidelity Investments has launched three new ETFs that provide exposure to US mid- and small-cap, international developed, and emerging market equities that have been selected using a multi-factor methodology. “We have leveraged years of experience in both quantitative and fundamental research to develop our unique approach in constructing our entire factor ETF suite,” said Greg Friedman, Fidelity’s Head of ETF Management and Strategy.

ETF providers are poised to capture a bigger slice of affluent investors’ assets, according to the results of a Cogent Reports study. “We see signs of growth in ETFs from both current investors and those who are new to the category,” said Julia Johnston-Ketterer, Senior Product Director at Market Strategies International. “Additionally, ETF providers receive tremendous distribution support from financial advisors.”

Fidelity Investments has filed registration documents with the US Securities and Exchange Commission (SEC) for the listing of two new multifactor equity ETFs on Cboe BZX. The Fidelity Targeted Emerging Markets Factor ETF and Fidelity Targeted International Factor ETF will invest in emerging market and developed market (ex-US) stocks, respectively, and will select their constituents using a multifactor process that favours stocks with strong value, quality, momentum, and low-volatility characteristics.

Fidelity Investments Canada has launched a suite of factor-based ETFs on Toronto Stock Exchange. The six new ETFs focus on dividend-payers from across Canadian, US, and international equity markets. “Factor investing offers tremendous opportunity to bring innovation to the Canadian marketplace,” said Rob Strickland, President of Fidelity Investments Canada.