Franklin Templeton has launched the Franklin Liberty Euro Green Bond UCITS ETF (FLRG GR), the first actively managed ETF targeting the euro-denominated green bond market. The fund seeks to maximize returns whilst providing exposure to bonds supporting projects that are aligned with a low-carbon future. Caroline Baron, Head of ETF Sales EMEA, Franklin Templeton, said, “Demand is rising in Europe for high conviction ESG products due to increasing investor and regulatory pressure to incorporate green, ethical and governance factors into investment portfolios.”

JP Morgan Asset Management has launched a new ETF in Europe with the expansion of its ‘BetaBuilders’ range – low-cost, passively managed ETFs marketed as portfolio building blocks. The JPM BetaBuilders US Equity UCITS ETF, which offers exposure to large- and mid-cap US equities, matches the cost of Europe’s lowest priced ETF with a TER of just 0.04%. Bryon Lake, Head of International ETFs at JP Morgan Asset Management, said, “We believe our US equity ETF offers investors and asset allocators more efficient access to US equities in what is an increasingly noisy market place.”

By Chanchal Samadder, Head of Equity ETFs, and Philippe Baché, Fixed Income ETF Engineering & Product Development at Lyxor Asset Management.

After a largely lacklustre 2018, sentiment on the emerging markets has improved since the beginning of the year. Capital flows have recovered as a result. So what’s next?

WisdomTree has launched the WisdomTree USD Floating Rate Treasury Bond UCITS ETF – the first ETF in Europe to provide targeted exposure to Floating Rate Notes (FRNs) issued by the US government. Christopher Gannatti, WisdomTree Head of Research, commented, “For investors who are looking for another government bond instrument to replace some of the low yield exposures present in many developed market treasuries, US Treasury FRNs could provide a yield enhancement, especially given the flatness of the US yield curve.”

Amundi has launched a suite of nine ultra-low-cost ETFs – branded ‘Prime’ – on Xetra and London Stock Exchange that have been designed to provide investors with core portfolio exposures. Consisting of five equity and four fixed income ETFs, each fund is linked to a Solactive index and comes with a total expense ratio (TER) of just 0.05%. 

State Street Global Advisors (SSGA) has launched a new ETF – the SPDR MSCI World UCITS ETF – in Europe. The fund is linked to the well-known MSCI World Index which covers large- and mid-cap equities across 23 developed market countries including the US. “The MSCI World Index is often considered as the bedrock of a large international portfolio,” said Antoine Lesné, Head of EMEA Strategy & Research for SPDR ETF. “Many investors use it as a core building block around which to build satellite tilts with sector or regional exposures.”

Lyxor has expanded its socially responsible fund range with the launch of the Lyxor MSCI Europe ESG Leaders UCITS ETF (ESGE FP) on Euronext Paris. The new fund targets stocks within the MSCI Europe Index that have a robust environmental, social, and governance (ESG) profile, as determined by MSCI ESG Research. Adam Laird, Head of ETF Strategy, Northern Europe at Lyxor, commented, “Building on the success of our ESG Trend Leaders suite, this new strategy further enhances Lyxor’s pedigree within the socially responsible investing space. Interest in ESG-focused strategies continues to grow at a robust pace, and it is our goal to provide a comprehensive toolkit to meet investor demand.”

Invesco has launched the Invesco MDAX UCITS ETF (DEAM GY) on Deutsche Börse’s Xetra and Frankfurt exchanges. The fund, which comes with a total expense ratio (TER) of 0.19%, becomes the cheapest ETF in Europe to offer exposure to Germany’s main mid-cap equity index – the MDAX.

By Chanchal Samadder, Head of Equity ETFs at Lyxor Asset Management.

It’s the year of the pig in China which marks the end of the 12-year cycle of the animals of Chinese astrology. As such, it’s a perfect time to look back, learn from the past, and prepare for the new cycle.

Lyxor has cross-listed the Lyxor Green Bond UCITS ETF on Nasdaq Stockholm where it trades in Swedish krona. The ETF is linked to the Solactive Green Bond EUR USD IG Index, offering access to the performance of euro- and dollar-denominated ‘green bonds’ issued by investment-grade companies.