Global ETF News Older than One Year
BlackRock ETP Landscape ETP Landscape: A record year for flows
ETP Landscape December 2016
January 16, 2017--INDUSTRY HIGHLIGHTS
Global ETPs set a new flows record in 2016, posting another year of double digit organic growth.
Global ETP flows of $379.5bn represented 13% organic growth and exceeded last year's record of $350.7bn, fueled by record flows for fixed income, a second-half surge in U.S. equities and renewed appetite for broad emerging markets equities
Fixed income flows set a new annual record of $115.0bn, driven by new highs for investment grade corporate bonds, U.S. TIPS and emerging markets debt funds
U.S. equity flows rallied in the second half of 2016 led by large caps with $82.3bn and boosted by new annual flow records in small cap and dividend funds
Broad emerging markets equities gathered $26.7bn in 2016, breaking a three-year streak of outflows, lifted by a leveling in commodities prices and a more stable U.S. dollar in the period before the U.S. presidential election
Source: BlackRock-ETP Research
Investors fight back on aggressive covenant terms
January 13, 2017--Investors dug in their heels this week on three investment-grade bond deals that tried to include more issuer-friendly terms, signaling that-for now at least-enough is enough.
Borrowers scrapped language in new bond offerings that would have spared them from paying a make-whole premium in the event of a default (from a simple covenant breach to actual bankruptcy).
Source: Reuters
DECPG Global Weekly-January 13, 2017
January 13, 2017--TAKING STOCK
The World Bank forecast global growth to accelerate moderately in 2017
U.S. jobless claims rose slightly in the first week of 2017, retail sales rose modestly in December
Euro Area industrial production accelerated in November, the unemployment rate was unchanged
Japan's current account surplus expanded in November
China's reserves fell further in December, producer prices accelerated
Source: World Bank
BlackRock and Vanguard enjoy record inflows
January 13, 2017--Titans of asset management capitalise on popularity of low-cost passive investments
The world's two largest asset managers, BlackRock and Vanguard, enjoyed the largest inflows in their history last year as a record amount of money moved into low-cost passive investments at the expense of traditional actively managed funds.
Source: FT.com
Report on sterling "flash event", released by the Markets Committee
January 13, 2017-The Markets Committee today released its analysis of the 7 October 2016 "flash event" during which sterling depreciated by around 9% versus the dollar in early Asian trading, before quickly retracing much of the move.
The report concludes that a range of factors-rather than a single driver-catalysed the event.
Source: BIS
BlackRock reports $41 billion in institutional net inflows in quarter; net income falls 3%
January 13, 2017--BlackRock (BLK)'s assets under management reached $5.15 trillion as of Dec. 31, up 1% from three months earlier and up 11% from a year earlier, the firm said in its earnings statement released Friday.
Net inflows to the firm's long-term strategies were $87.8 billion in the fourth quarter, compared to net inflows of $55.2 billion in the third quarter and net inflows of $53.9 billion in the year earlier quarter.
Source: www.pionline.com
FSB publishes Policy Recommendations to Address Structural Vulnerabilities from Asset Management Activities
January 12, 2017--The Financial Stability Board (FSB) today published Policy Recommendations to Address Structural Vulnerabilities from Asset Management Activities.
The document sets out 14 final policy recommendations to address the following structural vulnerabilities from asset management activities that could potentially present financial stability risks:
liquidity mismatch between fund investments and redemption terms and conditions for open-ended fund units;
leverage within investment funds;
operational risk and challenges at asset managers in stressed conditions; and
securities lending activities of asset managers and funds.
Source: Financial Stability Board (FSB)
ETFGI reports ETFs/ETPs listed globally gathered record inflows of 389 billion US dollars and assets reached a new high of 3.546 trillion US dollars at the end of 2016
January 12, 2017--ETFGI, the leading independent research and consultancy firm on trends in the global ETF/ETP ecosystem, today reported assets invested in ETFs/ETPs listed globally reached a new record high of US$3.546 trillion at the end of 2016 passing the prior record of US$3.444 trillion set at the end of November 2016.
In December, ETFs/ETPs gathered a record level of net inflows US$65.25 billion for December, marking the 35th consecutive month of net inflows. During 2016, ETFs/ETPs listed globally gathered a record amount of net inflows US$389.34 Bn surpassing the prior record of US$372.27 Bn gathered in 2015, according to preliminary data from ETFGI's Year-end 2016 global ETF and ETP industry insights report.
Source: ETFGI
World Gold Council-The gold market in 2017
January 12, 2017--In 2016, investors around the world returned in large numbers to the gold market, as a combination of macroeconomic drivers and pent up demand kept interest in gold high.
As we start the new year, there are some concerns that US dollar strength may limit gold's appeal. We believe that, on the contrary, not only will gold remain highly relevant as a strategic portfolio component, but also six major trends will support demand for gold throughout 2017.
Source: World Gold Council
Merk Gold Focus: Gold in Presidential Transition Years
January 12, 2017--We get a lot of questions on how gold will perform in 2017. While we have no crystal ball, we
thought the tidbit below might be of interest to you as you evaluate whether adding a gold component might provide valuable diversification to your portfolio.
Since Nixon took the US dollar off the gold standard in 1971 there have been seven Presidential transition years, i.e., years when a new president was inaugurated.
Source: Merk Investments
