China's yuan hits another 4-year low, faster offshore fall widens gap
December 10, 2015--CNY closes at 6.4378, weakest close in over 4 years
Offshore market has lost 1.6 pct in 5 trading days
Analysts see c.bank signaling comfort with depreciation
Wide spread between onshore and offshore markets has prompted intervention in past
China's yuan closed down against the dollar for the fifth session on Thursday while the offshore market accelerated away from the onshore rate, putting the Chinese central bank's ability to hold the exchange rate stable in question.
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Source: CNBC
Taiwan Stock Exchange and Korea Exchange Sign MoU to Deepen Index and ETF Cooperation
December 10, 2015--The Taiwan Stock Exchange (TWSE) and the Korea Exchange (KRX) will sign a Memorandum of Understanding (MoU) on 11 December 2015. Under the terms of the MoU, both sides agree to work together to expand their ETF markets, jointly compile indices, conduct market promotion activities and engage in bilateral visits to share experiences.
The MoU will also help create closer ties and links between the Taiwanese and Korean capital markets.
Given the economic rise of Asia, regional cooperation between capital markets has been gaining more significance. The signing of this MoU will be a new milestone for cooperation between the Taiwanese and Korean capital markets.
view more> Womb-to-Tomb Policies Needed to Tackle Labor Force Decline and Higher Public Spending in Rapidly Aging East Asia view the Live Long and Prosper-Aging in East Asia and Pacific
India: Consumption At All-Time High and Projected to Rise view more
China's stock markets to introduce circuit breaker from January 1 to stem future routs view more
HKFE Announces Revised Margins for CSOP FTSE China A50 ETF Futures view more Shorting rules drag on Shanghai-Hong Kong Stock Connect prospects view more
IMF-Taking Stock: An Update on Vietnam's Recent Economic Developments-Key Findings (December 2015) view the Taking stock: an update on Vietnam's recent economic developments report BetaShares Market Insights: Blending active and passive: Analysing the key benefits of core/satellite investing... view more State Street Global Advisors launches ETFs on Japanese market view more If you are looking for a particuliar article and can not find it, please feel free to contact us
Source: TWSE (Taiwan Stock Exchange)
December 9, 2015--East Asia is aging faster than any other region in history, and some middle-income and wealthier economies could lose as much as 15 percent of their working-age population by 2040, according to a new World Bank report.
The report, Live Long and Prosper: Aging in East Asia and Pacific, finds that 36 percent of the world's population ages 65 and over, or 211 million people, live in East Asia, the largest share among all regions. By 2040, the graying of the population could shrink the number of working-age adults by more than 15 percent in Korea and more than 10 percent in China, Thailand and Japan. In China alone, that would translate into a net loss of 90 million workers.
Source: World Bank
December 7, 2015--India consumption at all-time highs. The latest data from the World Bank1 has India's per capita household consumption expenditures reaching an all-time high of $730 USD (constant 2005 USD).
As seen in the chart, the ten year average growth rate also hit an all-time high, up 84% in 2014 over the past decade. Looking at contributing macro factors such as median population age, birth rates, and per capita gross domestic product (GDP), EGA Investment Strategy analysis suggests that by 2020 per capita household consumption expenditures could reach $1,025.
Source: Emerging Global Advisors
Analysts say a market mechanism is better than government intervention
December 4, 2015--Analysts said it was better to have a market-based mechanism rather than arbitrary government intervention,
although the move might affect market liquidity, together with a daily cap that allows only 10 per cent upward or downward movement for individual stocks, and a so-called T+1 rule that prevents investors from buying and selling shares on the same day.
Source: www.scmp.com
December 3, 2015--Hong Kong Futures Exchange Limited (HKFE), a wholly-owned subsidiary of Hong Kong Exchanges and Clearing Limited (HKEx), has announced that with effect from the commencement of trading on Monday, 7 December 2015, the minimum margins to be collected by an Exchange Participant from its
clients in respect of their dealings in the following futures contract will be as outlined...
Source: Hong Kong Futures Exchange Limited
December 3, 2015--Short sells on the Shanghai-Hong Kong Stock Connect have tallied a grand sum of zero since regulators opened the scheme for leveraged trading nine months ago.
That's an odd trait for a programme that has seen strong demand from global hedge funds that have just recently gained access to the mainland Chinese market.
Source: scmp.com
December 2, 2015--Latest Developments
Vietnam's economy has weathered the recent turbulence in the external environment fairly well, reflecting resilient domestic demand and robust performance of export-oriented manufacturing. Growth further accelerated to 6.5 percent (year-on-year) in the first three quarters of 2015.
Against the backdrop of low inflation, monetary policy remains accommodative. Average inflation stood at 0.7 percent in the first ten months of 2015, down from 4.6 percent in the same period last year.
Better macroeconomic conditions helped maintain stability in the banking system, but deep seated vulnerabilities continue to pose risks.
Fiscal consolidation remains crucial to contain risks to fiscal sustainability.
Source: World Bank
December 1, 2015--The traditional argument for index investing-such as through exchange traded funds-is based on the view that most active managers fail to beat their respective investment benchmarks more often than not.
But while this may be true to some extent, it’s clear that some active managers maintain good track records over time and are favoured by some investors. Given this reality, this note demonstrates how even in cases where successful active managers can be found, passive investment strategies as part of a "core/satellite" approach can still play a useful complementary role. Indeed, this highlights a broader point: the choice between active and passive investment strategies need not always be mutually exclusive, but rather each should be seen to complement the other.
Source: BetaShares
Two new SPDR index funds tradable via Xetra and Börse Frankfurt
December 1, 2015--Two new exchange-listed equity index funds issued by SPDR (State Street Global Advisors) have been tradable on Xetra and Börse Frankfurt since Tuesday.
Name: SPDR MSCI Japan UCITS ETF
Asset class: equity index ETF
ISIN: IE00BZ0G8B96
Ongoing charges: 0.30 percent
Distribution policy: accumulating
Benchmark: MSCI Japan Index
Source: Deutsche Börse Cash Market