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Morningstar Reports U.S. Mutual Fund and ETF Asset Flows for Full-Year and December 2017
January 23, 2018--Morningstar, Inc. (NASDAQ: MORN), a leading provider of independent investment research, today reported estimated U.S. mutual fund and exchange-traded fund (ETF) asset flows for full-year and December 2017.
In 2017, investors placed $220.4 billion into U.S. equity passive funds and pulled $207.5 billion out of U.S. equity active funds. In December 2017, investors saw $22.5 billion of inflows to U.S. equity passive funds, and on the active front, the category had $16.3 billion of outflows. Morningstar estimates net flow for mutual funds by computing the change in assets not explained by the performance of the fund and net flow for ETFs by computing the change in shares outstanding.
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Source: Morningstar, Inc.
REX Shares and Bank of Montreal Launch 3X Leveraged "FANG+" Exchange Traded Notes on NYSE Arca
January 23, 2018--REX Shares, LLC (REX) today announced a partnership with Bank of Montreal to launch a pair of exchange traded notes under the name "REX MicroSectorsTM."
The BMO REX MicroSectorsTM FANG+TM Index 3X Leveraged ETNs and the BMO REX MicroSectorsTM FANG+TM Index-3X Inverse Leveraged ETNs are based on the NYSE FANG+TM Index, and started trading today on NYSE Arca under the tickers FNGU and FNGD.
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Source: REX
BlackRock Survey: Boomers Missing out on ETF Revolution
January 23, 2018-- Boomers lag as ETF usage accelerates with Millennials and 'Silvers'
Other Survey Findings:
88% of all ETF owners plan to continue or increase ETF use
Investors continue turning to ETFs for precise sector (37%) and single-country (25%) exposure
65% see a mix of ETFs and mutual funds as the best approach to building a portfolio
Only 32% know ETF’s can be used for bond investing
Just 23% of investors recognize ETFs tend to be more tax efficient than mutual funds
Even as ETF adoption surges, a surprising group of investors appears to be holding back. Boomers (aged 52-70) are in their peak investing years, but they lag behind their children and parents when it comes to using exchange traded funds (ETFs), according to data released today by BlackRock, Inc. (NYSE: BLK). The "BlackRock ETF Pulse Survey," which polls advised and self-directed individual investors, found that only 27% of Boomers invested in ETFs, compared to 42% of Millennials (21-35) and 37% of Silvers (71+).
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Source: BlackRock
ETFGI reports that assets invested in ETFs/ETPs listed in Latin America increased by 45% to reach a new high of 6 billion US dollars at the end of December 2017
January 22, 2018--ETFGI, a leading independent research and consultancy firm on trends in the global ETF/ETP ecosystem, reported today that assets invested in ETFs and ETPs listed in Latin America increased by 45.8% during 2017 to reach US$6.80 Bn at the end of December. (All dollar values in USD unless otherwise noted.)
Highlights
Assets invested in ETFs/ETPs listed in Latin America increased by $2.13 billion during the year, to reach $6.80 billion.
As the majority of ETFs listed in Latin America are cross listings, the assets sit in the primary listing typically in the United States.
Year-to-date, through end of December 2017, ETFs and ETPs listed in Latin America saw net inflows of $1.20 Bn.
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Source: ETFGI
GraniteShares Launches New Low-Cost Platinum ETF
January 22, 2018--GraniteShares, a new kind of exchange-traded fund (ETF) company, launches the lowest cost physical platinum ETF available in the U.S. at 50 basis points.* The GraniteShares Platinum Trust (NYSE Arca: PLTM) will be backed by physical platinum held in a vault in London.
"“We believe that platinum is one of the best investment stories never told. Many investors are simply not aware of its investment potential and our mission is to change that," said Will Rhind, CEO of GraniteShares."
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Source: GraniteShares
STOXX Launches First Global AI Index Based On AI Algorithm
January 22, 2018--Today, STOXX Ltd., the operator of Deutsche Börse Group's index business and a global provider of innovative and tradable index concepts, introduced the world's first index that uses AI-related algorithms to select companies exposed to the artificial intelligence (AI) megatrend at the Inside ETFs conference in the U.S. The new index will be available as of tomorrow, 23 January 2018.
The STOXX(R) AI Global Artificial Intelligence Index comprises around 200 companies from a wide range of industries that invest heavily in the development of new AI technologies such as technology, telecommunications, finance, and internet services. These companies are considered 'digital pioneers' that are well-positioned to benefit from the increased adoption of AI technologies, among them Apple, Deutsche Telekom, Bank of America and Facebook.
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Source: STOXX
Natixis Investment Managers and NYSE Announce Licensing Agreement on Proposed Actively Managed ETF Innovation
January 22, 2018--Natixis Investment Managers (Natixis) and the NYSE Group, Inc. (NYSE) announced today that they have entered into a licensing agreement whereby NYSE Group has licensed to Natixis Advisors, L.P. the right to use the New York Stock Exchange's methodology for operating an actively managed, periodically disclosed exchange-traded fund (ETF).
The proposed ETF would use the methodology to disclose on a daily basis a proxy portfolio designed to reflect the economic exposures and risk characteristics of the ETF's actual portfolio at the end of the trading day.
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Source: Natixis Investment Managers
AdvisorShares Weekly Market Review-Shutdown! Go Ahead And Give It To Me!
January 22, 2018--Highlights of the Prior Week Ending 1/19/2018
Macro
The title of this week's post is a nod to the late, great Tom Petty and the revelations surrounding his passing make us wonder if similar factors have contributed to congress' increasing dysfunction as it failed to work effectively to stave off a shutdown.
Barron's had several data points and tidbits as to how inconsequential past shutdowns have been on economic activity and that in years where shutdowns have occurred, the average return for equities has been in the mid-teens. While we won't be dumb enough to proclaim that this time shall be different, it makes us a little uneasy to see so many people on the same side of the boat.
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Source: AdvisorShares
CFTC.gov Commitments of Traders Reports Update
January 19, 2018--The current reports for the week of January 16, 2018 are now available.
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Source: CFTC.gov
Intercontinental Exchange and Blockstream Launch Consolidated Data Feed for Cryptocurrencies
January 18, 2018--Intercontinental Exchange, Inc. (NYSE:ICE), a leading operator of global exchanges and clearing houses and provider of data and listings services, and Blockstream, a leader in blockchain technologies and financial cryptography, announced today the launch of the Cryptocurrency Data Feed. ICE Data Services' new feed offers real-time cryptocurrency information and will initially include data from more than 15 cryptocurrency exchange venues globally.
The exclusive agreement between ICE Data Services and Blockstream offers extensive coverage of prices and order book data for bitcoin and several other leading cryptocurrencies.
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Source: Intercontinental Exchange