Despite the negative fallout from plummeting oil prices, the net effect will be positive for markets and the global economy in 2016, according to Source, one of the largest providers of ETFs in Europe. Paul Jackson, Head of Multi-Asset Research at Source, commented: “Based on recent evidence it seems that markets prefer an elevated oil price. However, this should not be the case. Of course, low prices cause distress for oil producers and their suppliers but everybody else benefits. For example, the fact that in the first 11 months of 2015 China imported 9% more oil than the preceding year but has paid 41% less for it means that there has been an enormous transfer of spending power to China.”

Dave Mazza, Head of Research for SPDR exchange-traded funds at State Street Global Advisors (SSGA), offers insight into the likely implications of the first interest rate hike in the US for nine years. His note explains the uncertainty surrounding the market’s reaction, the possible path for interest rate movements next year, and how investors may use ETFs to benefit from the move off zero.

Goldman Sachs Asset Management (GSAM), the asset management arm of the global investment bank, has plans to add to their growing lineup of smart beta exchange-traded funds with the launch of a new environmental and social responsibility-based ETF, according to a filing made with the US Securities and Exchange Commission. The Goldman Sachs S&P 500 Environmental & Socially Responsible ETF is expected to track an index of companies meeting environmental and socially responsible investing criteria while maintaining a risk and performance profile similar to the underlying reference, the S&P 500 Index.

Julia Kochetygova, Head of Sustainability Indices at S&P Dow Jones Indices, a leading index provider to the exchange-traded fund industry, has compiled a note reflecting on the growing prominence of environmental, social and corporate governance (ESG) investment themes during 2015. Over the course of the year, the ETF industry has kept up with the times as evidenced through increased launches of funds tailored towards the ESG conscious investor.

Although their economies are relatively small when compared to the size of European powerhouses such as Germany, France and the United Kingdom, exchange-traded funds with targeted exposure to the Nordic region (especially Sweden, Denmark and Norway) may provide significant benefits to investors looking to exploit a potential European recovery. Strong macro-economic fundamentals coupled with a greater degree of insulation from the financial complications of the eurozone structure, make Nordic ETFs an attractive proposition.

Pacer ETFs, an issuer of strategy-driven exchange-traded funds, has announced the launch of its first two ETFs to offer exposure to equities outside the US. The funds use systematic trend following strategies to manage equity and currency market exposure respectively. “After the great initial success of our three US Trendpilot ETFs, we decided to apply the strategy internationally. I think it is something that investors should use across their investments to avoid major downtrends,” said Joe Thomson, Chairman and President of Pacer ETFs.

Asia Index, a joint-venture between S&P Dow Jones Indices, a leading global index provider, and BSE, India’s first stock exchange, has launched four smart beta indices tracking the factor performances of Indian equities. Alka Banerjee, CEO of Asia Index, commented: “With the launch of the S&P BSE Factor Indices, we aim to broaden the S&P BSE Index family to cater to the demand of the investor base who continuously seek dynamic strategies that offer their own risk premia.”

Deutsche Bank, the German bank behind the db X-trackers range of exchange-traded funds, is expanding its online investment platform, maxblue, to include the AnlageFinder robo-advisor. The system makes it easy for first-time investors in equities to get started. “With our AnlageFinder robo-advisor, clients can professionally put together their portfolios and optimise their investment outcomes with just a few clicks,” said Markus Pertlwieser, Chief Operating Officer, Private & Business Clients, at Deutsche Bank.

FTSE Russell, a global index provider, has launched a series of multi-factor smart beta indices which track a core allocation to US equities with a range of factor tilts designed to capture improved risk-adjusted returns. The rules-based design as these indices makes them an ideal candidate as the basis for index-tracking products such as exchange-traded funds. The indices are based on the constituents of the US large-cap Russell 1000 Index and are available with either a dividend yield, low volatility or momentum factor tilt. The range is designed to meet the objectives of different investor types whether that be the need for income, reducing the variability of a portfolio or chasing after enhanced returns.

Euronext, a leading eurozone exchange, has announced a major change in the methodology used for its Low Carbon 100 Europe Index, sharpening the traditional approach to assessing companies’ CO2 emissions. Anthony Attia, Chairman and CEO of Euronext Paris, said: “As market operator, Euronext has an important role to play in channeling savings and investment into energy transition. This new methodology confirms our commitment to offering investors an increasingly relevant standard for portfolio management, and an underlying asset suitable for different index-linked products.”