| | NEWSLETTER | 14 Feb 2020 |
| The scary face of a scary virus
Coronavirus has continued to dominate the news and the financial news, with its financial impact being felt across the markets. WisdomTree’s head of Fixed Income Strategy, Kevin Flanagan, has commented on the impact of coronavirus on fixed income markets.
This week brought more news of expansion in the European ETF markets with Credit Suisse re-entering the ETF market, launching ETFs to run alongside its existing range of index funds. The firm writes that the new ETFs will be rolled out in areas where they exhibit efficiency advantages over index funds.
Michel Degen, Head of Credit Suisse Asset Management Switzerland and EMEA, says: “The strategic importance of ETFs will further increase in the future as digital sales platforms gain greater significance.”
Chicago-based Old Mission has been trading the hardest to price and most illiquid ETFs bringing a quant approach to the equation. We interviewed Bryan Christian, Managing Director, Head of Business Development and Strategy at Old Mission, on its new initiative, opening up a direct-to-buyside offering to the institutional community.
We also brought news late last week that the UK’s Investment Association has postponed adding ETFs into its IA Sectors due to the overwhelming response from over 500 ETF providers. In a statement, the Association says that including all the applicants would bring a much wider range of funds into the sector universe, which is welcome…: “But it will also alter the profile of a number of sectors significantly.”
Finally, do take a read of Allan Lane’s scholarly analysis of the latest ETF from China specialist ETF provider KraneShares. KESG has an ESG filter and represents, as Allan puts it: “Yet another case study of what it takes to compete in the high stakes game of passive investing.”
Beverly Chandler Managing Editor, ETF Express
Companies in this issue BlackRock Amundi Armor Index CP ETFs Credit Suisse Asset Management HANetf Horizons JP Morgan Asset Management Old Mission Ossiam The Investment Association WisdomTree
| | BNP Paribas becomes market maker for Tabula | Thu | 13 Feb 2020, 13:10 | BNP Paribas has become a market maker for the fixed income ETF provider Tabula Investment management, further improving the bid-ask spread and overall liquidity of Tabula’s ETFs listed on Europe’s major exchanges. |
| | | | BlackRock’s January figures show strong global flows into ETPs | Thu | 13 Feb 2020, 13:10 | BlackRock’s EMEA ETP report this month shows that global flows into ETPs remained strong in January, with USD66.5 billion added, down from a bumper USD85.8 billion of inflows in December (the second highest inflow month on record). |
| | JPMAM launches fixed income multi-factor ETF | Thu | 13 Feb 2020, 13:10 | JP Morgan Asset Management (JPMAM) has launched its first fixed income multi-factor UCITS ETF in Europe, the JPMorgan Global High Yield Corporate Bond Multi-Factor UCITS ETF (JGHY) which is now available on the London Stock Exchange, Deutsche Börse Xetra and the Borsa Italiana. |
| | | | Old Mission’s new mission | Thu | 13 Feb 2020, 13:10 | Being able to deftly price risk has differentiated Chicago-based market maker Old Mission, according to Bryan Christian, Managing Director, Head of Business Development and Strategy, describing his firm which has traditionally specialised in trading the hardest to price and most illiquid ETFs. |
| | | | Cannabis ETF drops firm involved in edible cannabis market | Thu | 13 Feb 2020, 13:10 | HANetf has been forced to make changes in its newly launched CBDX ETF that tracks the Medical Cannabis and Wellness Equity index from Solactive, as one of its components has entered the cannabis-infused edible products market. |
| | The UK’s Investment Association postpones ETF entry into IA sectors | Thu | 13 Feb 2020, 13:10 | The UK’s Investment Association has been overwhelmed with interest from ETF providers, with over 500 funds, keen to be included in the IA sectors, to the extent that the Association has now postponed their entry while they work out how to accommodate the funds in an updated framework. |
| | Global ETF launches 06-13.02.20 | Thu | 13 Feb 2020, 13:10 | This week’s new ETF launches include a new proposition for environmentally minded investors, a new actively managed fund from Ossiam which will focus on companies with a track record of low CO2 emissions. UBS debuted a new fund with ‘principles’ too, this week, an ETF offering investors access to companies that are highly committed to sustainability and gender equality issues. Elsewhere, Amundi expanded its Prime ETF range, while JPMAM launched a new fixed income multi-factor fund, and First Trust debuted the Value Line Dividend UCITS ETF… |
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