London-based ETF Securities will close its ETFS S-Network Global Agri Business GO UCITS ETF at the end of August, but agriculture-focused exchange-traded funds remain a compelling proposition as the global food supply/demand imbalance continues. The fund launched in 2008 but insufficient investor demand – current AUM is £12.4m – has led ETF Securities to decide its relatively small size did not make it worth paying the associated operating costs. Shareholders who have not sold their holding before 31 August will have their shares automatically redeemed for cash.

A note from S&P Dow Jones Indices suggests that the CBOE Volatility Index (VIX) could be poised to increase sharply from this week, citing seasonal trends as well as expectations derived from the VIX futures curve. For investors looking to protect their portfolios from rising volatility, VIX-linked exchange-traded products, such as the Boost S&P 500 VIX Short-Term Futures 2.25x Leverage Daily ETP (VIXL), could provide an effective hedge. Similarly, for traders with shorter time horizons the current calm could present an opportunity to take out speculative long positions in such products, which would profit from an increase in volatility.

State Street Global Advisors’ SPDR S&P 500 ETF (NYSE Arca: SPY), the first exchange-traded fund to launch in the US in January 1993, has hit more than $200bn in assets, making it by far the largest ETF in the world. “Since its inception in 1993, SPY has offered all investors tax efficient, cost effective and liquid exposure to US large cap stocks,” said David Mazza, head of ETF and Mutual Fund Research at SSGA. “Crossing $200bn in assets under management on August 12, 2016 is testament to SPY’s prominence in the market and broad use by investors.”

Asia Index Private, a joint venture between S&P Dow Jones Indices and the Bombay Stock Exchange, has launched the S&P BSE Liquid Rate Index, an index designed to measure the returns from a daily rolling deposit at the collateralized borrowing and lending obligation (CBLO) rate in India. Alka Banerjee, CEO, Asia Index Private, said: “With the launch of S&P BSE Liquid Rate Index we are expanding our fixed income indices offering in the most actively traded instrument in the money market. The CBLO rate is considered one of most liquid rates in India, in the overnight segment.”

The world of Nintendo gaming and Pokèmon Go has taken smartphone users by storm this summer, propelling the world’s only video gaming-focused ETF into the spotlight. The newest craze, Pokèmon Go, an augmented reality game where users wander the streets to “catch” virtual characters and throw around Pokèballs, fuelled shares in Tokyo-listed Nintendo to more than double in mid July. The smartphone game has achieved some incredible feats, including encouraging teenagers to leave the house, but it has also had a positive impact on ETFs with exposure to it.

Assets under management in smart beta exchange-traded funds are on course to reach nearly $800bn by 2020 if current growth rates are maintained, and could top $1tn, according to WisdomTree Europe. The ETF provider believes the desire for tailored ETFs and for low-cost alternatives to active funds are set to push growth rates even higher. Nizam Hamid, Head of Strategy at WisdomTree Europe, said: “Creating a tailored index based on a specific set of rules can, over time, capture positive market trends, and if such solutions can outperform market cap indices (while costing less than active funds) it should help boost growth substantially.”

Australian exchange-traded fund provider BetaShares has launched two currency-hedged ETFs aimed at providing investors with exposure to the global healthcare and agriculture industries – the BetaShares Global Healthcare ETF – Currency Hedged (ASX: DRUG) and the BetaShares Global Agriculture Companies ETF – Currency Hedged (ASX: FOOD). Alex Vynokur, managing director of BetaShares, commented: “…the BetaShares Global Sector ETF family can enable Australian investors to further evolve their existing portfolios by obtaining access to globally significant industry sectors in a convenient and cost effective way.”

Stocks have outperformed commodities for the first time since April following commodities biggest three-month gain, according to a note from S&P Dow Jones Indices. The commodity rally ended in July with commodity indices producing some of the worst performances since records began in the 1970’s as a stronger dollar and declining probability of a rate hike this year put pressure on the asset class. The Dow Jones Commodity Index (DJCI) lost 6% in July, while the S&P GSCI lost 9.6% in total return. The latter saw its third worst July on record, dragged down by 16 out of the 24 commodities seeing their value drop in July, which is the most since November 2015 when 22 were down.

Exchange-traded fund provider WisdomTree and Hong Kong-based asset manager ICBC Credit Suisse (ICBCCS) have collaborated to launch a new China-focused ETF on the London Stock Exchange. The ICBCCS WisdomTree S&P China 500 UCITS ETF (LSE: CHIN) tracks the S&P China 500 Index, a reference for the float-adjusted market cap-weighted performance of the 500 biggest and most liquid Chinese firms across all Chinese share classes, including A-shares and offshore listings. It is the tenth ETF as part of the Renminbi Qualified Foreign Institutional Investor (RQFII) program to list on the LSE and the third to launch in 2016.

London Stock Exchange (LSE) has welcomed a new China-focused exchange-traded fund from Hong Kong-based asset manager ICBC Credit Suisse and ETF provider WisdomTree. The ICBCCS WisdomTree S&P China 500 UCITS ETF (LSE: CHIN) is the tenth Renminbi Qualified Foreign Institutional Investor (RQFII) ETF to list on the LSE and the third RQFII product to launch in 2016, further cementing the city’s role as a leading venue for the listing of offshore RMB-denominated investment products.