Global ETF News Older than One Year
Updated methodology for assessing compliance with capital standards published by the Basel Committee
October 15, 2013--The Basel Committee on Banking Supervision has today published an updated methodology for its jurisdiction-specific Regulatory Consistency Assessment Programme (RCAP).
The RCAP was initiated by the Basel Committee to promote full and consistent implementation of the Basel framework by its member jurisdictions.
Importantly, the RCAP assessments help to highlight the potential of any gaps found in the regulatory regime to affect financial stability and the regulatory environment for internationally active banks.
view the updated Basel III Regulatory Consistency Assessment Programme (RCAP)
Source: BIS
WEF-Energy Harnessing: How to Reduce Emissions and Boost the Global Economy
Only about 11% of the energy contained within resources (gas, coal, oil etc.) is utilised; 89% is lost in the supply chain, from resource production to final use, the so-called energy harnessing landscape.
Energy harnessing efficiency can easily be doubled over the coming two decades, which would lead to sustainable economic growth and a reduction in greenhouse gas emissions
The critical measures and technologies for such a transition have to be supported by smart policies to trigger critical investment.
October 15, 2013--The World Economic Forum has launched a new report, Energy Harnessing: New Solutions for Sustainability and Growing Demand, which establishes the most comprehensive analysis of how we use energy to date.
Energy powers the global economy. Without sufficient energy to heat and light homes, run businesses, power manufacturing plants, and fuel transport, the world would come to a standstill. Energy is provided via an energy harnessing network, a complex system that starts with extraction from a variety of sources and moves to transformation, storage, distribution and utilization.
view the WEF Energy Harnessing: New Solutions for Sustainability and Growing Demand report
Source: WEF (World Economic Forum)
Commodity ETPs turn the corner in Q3
Total assets in commodity ETP assets rose to $135.3 billion, marking the first quarterly rise since Q3 2012, according to ETF Securities.
October 15, 2013--Total assets in commodity ETP (Exchange Traded Products) assets rose by $8.4bn to $135.3bn, marking the first quarterly rise since Q3 2012, according to ETF Securities.
In Q3 2013, the rise was driven by a combination of price increases and the largest quarterly inflows into non-gold commodity ETPs since Q1 2012.
Source: MineWeb
IOSCO Launches its First Securities Markets Risk Outlook
October 15, 2013--The International Organization of Securities Commissions (IOSCO) today published the IOSCO Securities Markets Risk Outlook for 2013-2014. The report highlights important trends, vulnerabilities and risks in securities markets that may be of concern from a systemic perspective.
The Outlook is the result of a joint effort between the IOSCO Research Department and the Committee on Emerging Risks (CER), which is comprised of senior researchers, chief economists and risk officers of almost 30 securities markets regulators from around the world. The information and data were drawn from extensive consultation with experts, industry and other market participants; a survey to regulators, industry and academics; roundtables; and robust data analysis and literature review.
view the IOSCO Securities Markets Risk Outlook 2013-2014 report
Source: IOSCO
Groundbreaking deal set to make London global currency centre for investment in China
October 15, 2013--Britain and China have today (Tuesday 15 October) agreed a series of steps that will both cement London's role as a global offshore hub for trading the Chinese currency the Renminbi (RMB) and act as the spring board for London to also become a hub for RMB investment into China.
The agreements will reinforce London's role, in partnership with Hong Kong.
The agreement is the centrepiece of the conclusions of two-days of talks between the Chancellor George Osborne and his Chinese counterpart Vice-Premier Ma Kai as part of the Economic and Financial Dialogue (EFD) between Britain and China.
Source: HM Treasury
Launch of MSCI ESG DataMetrics facilitates ESG integration
Comprehensive environmental, social and governance (ESG) raw data and indicators now available to support ESG integration
October 15, 2013--MSCI Inc. (NYSE: MSCI), a leading provider of investment decision support tools worldwide, announced today the launch of MSCI ESG DataMetrics, a comprehensive set of ESG scores, indicators and raw data to facilitate quantitative analysis, development of proprietary ESG models and reporting on ESG and portfolio footprint analysis.
Remy Briand, Managing Director and Head of MSCI Index and ESG Research, said, "With investor awareness on ESG issues growing and the market maturing, there is a clear need both for access to the underlying metrics that support MSCI ESG Research's analyst assessments as well as for historical data. Clients have requested access to quantitative ESG data and metrics in order to better facilitate ESG integration and analysis. We are happy to provide a substantive set of metrics with the MSCI ESG DataMetrics product."
Source: MSCI
New policies needed to adjust to new dynamics in world economy-UN report
October 14, 2013--Countries must adopt new economic policies to adjust to structural changes in the world economy sparked by the onset of the global financial crisis five years ago, according to a new United Nations report.
\The Trade and Development Report 2013 notes that developed countries have so far addressed the crisis by implementing stimulus measures that rely on expansionary monetary policies, but these have been unsuccessful in fostering growth, as they have been combined with fiscal austerity and subdued private demands.
Instead, the report, which was produced by the UN Conference on Trade and Development (UNCTAD), argues that Governments must addressthe fundamental causes of the crisis, in particular rising income inequality, the diminishing role of the States, and the predominant role of the poorly regulated financial sector.
view the UN TRADE AND DEVELOPMENT REPORT, 2013
Source: UNCTAD.org
Global ETF investors favour growth assets over defensive
October 14, 2013--Despite the current US government situation and the impending US debt ceiling debate, global exchange-traded fund (ETF) investors have continued to favour higher-risk assets over defensive investments, according to research released by State Street Global Advisors (SSgA).
The total global ETF flows reached US$32.1 billion in September, with inflows into the ETF market of $US27.1 billion. This brought the total asset value of global ETFs to $US2.2 trillion. Investors particularly favoured large cap developed equities with higher beta strategies.
The Australian ETF industry differed slightly to the rest of the globe for September, however. While flows were certainly still positive, there were only inflows of $78 million.
Source: Investor Daily
First release of G20 Consumer Price Index shows slowing annual inflation at 3.0% in August 2013
October 14, 2013--Today's release of the G20 Consumer Price Index (CPI) marks the second release of a G20 aggregate statistic following the first publication of aggregate quarterly G20 GDP estimates on 14 March 2012.
The releases on G20 aggregates contribute to the implementation of the G20 Data Gaps Initiative-a set of 20 recommendations on the further enhancement of statistics as agreed by the G20 Finance Ministers and Central Bank Governors. The process is coordinated by the Inter-Agency Group on Economic and Financial Statistics: Bank for International Settlements, European Central Bank, Eurostat, International Monetary Fund (chair), OECD, United Nations and the World Bank.
The G20 CPI provides a timely measure of inflation for the G20. In the future, the G20 CPI will become part of the regular OECD monthly News Release on CPI at around one month after the reference period.
Annual inflation in the G20 area was 3.0% in the year to August 2013, down from 3.2% in the year to July 2013.
Source: IMF
SSgA-Global ETF Snapshot-September 2013
October 14, 2013--GLOBAL ETF LISTING REGION
The United States had over $32.1BN of inflows in the month of September, increasing its year-to-date inflows to $128.0BN. Europe experienced inflows of $1.3BN in September, increasing its year-to,date inflows to $9.8BN. APAC had minor outflows.
GLOBAL PERFORMANCE BY ASSET CLASS
MSCI AC World IMI increased 5.4%, while MSCI EAFE® gained 7.4%. Emerging Markets returned 6.5% while Emerging Markets Small Cap jumped 5.8%. US Large Cap, Mid Cap and Small Cap markets were all positive, increasing 3.1%, 5.2% and 6.2%, respectively. The Global Aggregate gained 2.1% and the Global Treasury Ex US grew 2.6%. The US High Yield, the US Aggregate, the US Treasury and the US Corporate Bond markets were all positive in September. The US REIT market was up 3.2%. Commodities were negative, with the Dow Jones-UBS Commodity Index losing 2.6% and Gold dropping 4.9%.
GLOBAL ETF FLOWS BY ASSET CLASS
Global ETF inflows topped $32.1BN in September. Equity had inflows of $27.1BN. The Equity inflows were driven by Developed Market Large Cap Equity, which had $11.6BN in inflows. Fixed Income had inflows of $5.5BN, which were driven by inflows of $3.7BN in Developed Market Treasuries.
ETF Manager & Fund Detail
MANAGER DETAIL
The top three families in the Global ETF marketplace were: BlackRock, State Street and Vanguard. Collectively, they account for approximately 70% of the Global ETF market.
Source: SSgA
