VanEck launches sustainable equity ETF
June 28, 2019--VanEck has announced it has launched on the Australian Securities Exchange (ASX) its Vectors MSCI Australian Sustainable Equity exchange traded fund (ETF) (GRNV) which will offer investors exposure to a diversified portfolio of Australian companies meeting in-depth environmental, social and governance (ESG) and values-based screening criteria.
The new fund would track a new benchmark index, the MSCI Australia IMI Select SRI Screened Index, which was developed in partnership between VanEck and MSCI and leveraged MSCI's expertise in ESG research based on fossil fuel reserves, socially responsible activities, ESG performance and controversies.
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Source: moneymanagement.com.au
India's SEBI tightens rules for pledged shares, mutual funds
June 27, 2019--India's market regulator reinforced disclosure rules for when the shares in a company are pledged as collateral and tightened rules for mutual funds to try to protect minority shareholders and retail investors.
Promoters of a company-often its main investors-will have to disclose reasons for having pledged shares when combined pledges exceed 20% of the total share capital in a company or 50% of their total shareholding in the firm, the Securities and Exchange Board of India (SEBI) said in a statement on Thursday.
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Source: Zawya.com
Economic Watch: China's A-shares market set for wider global appeal
June 24, 2019--Starting from Monday, global investors who crave for a bite of China's economic growth dividends have more channels.
Nearly 1,100 companies listed on China's A-shares market became eligible for investment by certain overseas funds and other institutional investors as these shares were officially included in a widely-tracked global benchmark.
FTSE Russell, a leading global multi-asset index, data and analytics provider, Monday included China's A-shares in the FTSE Global Equity Index Series (FTSE GEIS) as a secondary emerging market.
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Source: xinhuanet.com
SEBI allows futures on commodity indices
June 19, 2019--The Securities and Exchange Board of India (SEBI) has allowed exchanges with commodity derivatives segment to launch futures contracts on commodity indices.
"...it has now been decided to permit recognised stock exchanges with commodity derivative segment to introduce futures on commodity indices," said a circular issued on Tuesday.The capital markets regulator further said that exchanges wanting to launch such futures contracts would have to take its approval and submit at least three years' data of the index constructed along with certain other data.
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Source: thehindu.com
China Deepens Global Finance Links as It Joins Benchmark Indexes
June 19, 2019--China is embarking on the next stage of its integration into global financial markets. It is a stage that is likely to see a fresh flood of overseas investment, improved liquidity, better governance, and a broader range of instruments.
The catalyst: inclusion of Chinese stocks and bonds in a larger number of global financial-market indexes.
As Chinese securities are added, investment managers who seek to match or surpass the returns of the indexes will adjust their portfolios to include Chinese stocks and bonds. And increasingly it is these benchmark-driven asset managers who are propelling portfolio flows.
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Source: IMF
China Deepens Global Finance Links as It Joins Benchmark Indexes
June 19, 2019--China is embarking on the next stage of its integration into global financial markets. It is a stage that is likely to see a fresh flood of overseas investment, improved liquidity, better governance, and a broader range of instruments.
The catalyst: inclusion of Chinese stocks and bonds in a larger number of global financial-market indexes. As Chinese securities are added, investment managers who seek to match or surpass the returns of the indexes will adjust their portfolios to include Chinese stocks and bonds. And increasingly it is these benchmark-driven asset managers who are propelling portfolio flows.
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Source: IMF
HKEX Welcomes Its First Listing Of Active ETF
June 18, 2019--First active ETF listed in Hong Kong
Fund managers have discretion to select securities in the fund, with the aim of outperforming market indices
Enjoy the same benefits as traditional ETFs: convenience, lower cost and intra-day liquidity
Hong Kong Exchanges and Clearing Limited (HKEX) is pleased to welcome today (Tuesday) its first listing of an active Exchange Traded Fund (ETF)-ICBC CICC USD Money Market ETF (stock code: 3011/9011) -marking another milestone in the development of Hong Kong's ETF market.
Active ETFs are different from traditional ETFs in that they are typically managed by fund managers, who have the discretion to select securities, with the aim of outperforming market indices.
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Source: Hong Kong Exchanges and Clearing Limited (HKEX)
Brown Brothers Harriman Services Hong Kong's First Active ETF
June 18, 2019-BBH serves as trustee and registrar to Hong Kong's First Active ETF.
Brown Brothers Harriman & Co. (BBH) today announced its appointment as the custodian and administrator for the first actively managed ETF domiciled in Hong Kong.
The ICBC CICC USD Money Market ETF is being launched by China International Capital Corporation (CICC) with ICBC Asset Management (Global) Company Limited acting as Investment Advisor. Brown Brothers Harriman Trustee Services (Hong Kong) Limited serves as trustee and registrar.
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Source: Brown Brothers Harriman (BBH)
Success of China's Belt & Road Initiative Depends on Deep Policy Reforms, Study Finds
June 18, 2019--Millions Could Be Lifted Out of Poverty, But Countries Face Significant Risks
China's Belt and Road Initiative (BRI) could speed up economic development and reduce poverty for dozens of developing countries-but it must be accompanied by deep policy reforms that increase transparency, improve debt sustainability, and mitigate environmental, social, and corruption risks, a new World Bank Group study on the BRI transportation corridors has found.
Through independent, empirical analysis, the Belt and Road Economics study is designed to help policymakers in developing countries weigh the potential benefits and risks of participating in BRI projects.
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June 17, 2019--China's Treasury holdings fell to their lowest level in two years in April, heightening concerns about the impact of the Sino-American trade war.
Source: FT.com