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.

Professional investors are expected to increase their allocations to fixed income over the next three years and within those allocations boost their exposure to ETFs, according to research commissioned by Tabula Investment Management. The research also uncovered an appetite for new product development within fixed income ETFs with more than half of investors keen to see the sort of smart beta innovation exhibited in equity markets replicated in the fixed income space.

Tabula Investment Management’s credit volatility premia ETF – the Tabula J.P. Morgan Global Credit Volatility Premium Index UCITS ETF – has surpassed €150m in assets under management, less than six months since its launch. The fund, which debuted on the London Stock Exchange in March, captures the difference between realized and implied volatility in North American and European high yield credit default swap markets. Michael John Lytle, CEO of Tabula, commented, “Our ETFs have struck a chord with many types of investors, from wealth managers and asset managers to banks and insurance companies.”

European fixed income specialist Tabula Investment Management has listed the Tabula JP Morgan Global Credit Volatility Premium Index UCITS ETF (TAB2 GR) on Deutsche Börse’s Xetra platform. The ETF captures the difference between realized and implied volatility in credit default swap index options markets. Michael John Lytle, CEO of Tabula Investment Management, commented, “There is a growing need for more innovative fixed income tools to manage risk and navigate markets, and we are excited to be able to offer this product to German investors.”

European fixed income specialist Tabula Investment Management has announced that its suite of UCITS ETFs is now registered for distribution in Spain. Combined with existing registration in Portugal, Tabula will now enjoy a robust Iberian presence.

Finding innovative sources of return that are structural and uncorrelated is a priority for around 85% of wealth managers and institutional investors, according to a survey from fixed income ETF provider Tabula Investment Management. According to the survey, 51% of professional investors expect to see the level of smart beta and innovation being used in the fixed income ETF sector increasing over the next three years, with only 2% expecting it to decrease. Michael John Lytle, CEO of Tabula, said, “Fixed income ETFs not only provide easy and cost-efficient access to standard bond indices, they can also deliver new and innovative investment opportunities.”

European fixed income specialist Tabula Investment Management has entered the Swiss market with the cross-listing of its five ETFs on Bern’s BX Swiss exchange. “We are focused on delivering a wide range of fixed income factors that were previously only available to sophisticated investors,” said Tabula CEO Michael John Lytle.

Tabula Investment Management has launched a new ETF in Europe – the Tabula JP Morgan Global Credit Volatility Premium Index UCITS ETF (TVOL LN). Linked to a newly created JP Morgan index, the fund provides a passive vehicle for capturing the difference between realized and implied volatility in credit default swap (CDS) index options markets. “Investors are very keen to find new sources of return that are structural and have limited correlation to other market index investments,” said Michael John Lytle, CEO of Tabula Investment Management. “We are very glad to be able to work with JP Morgan on harnessing this risk premium and delivering it to our clients.”

Twenty four new ETF/ETPs or additional share classes were listed on the London Stock Exchange in February 2019. ETF providers introducing new products on the exchange during the month included UBS, Invesco, Vanguard, First Trust, BlackRock, Lyxor, WisdomTree, and Tabula.

Fixed income ETFs are expected to take a bigger share of overall ETF inflows, according to research from new European ETF provider Tabula Investment Management. The firm believes such growth could result in a large number of me-too fixed income ETFs, all offering similar sorts of exposure. “The palpable opportunity in this market lies in developing new products that deliver precise exposure and address the specific needs of fixed income investors,” said MJ Lytle, chief executive at Tabula.