ESMA issues statement on supervision of the clearing and derivative trading obligations following the benchmark transition
December 16, 2021--The European Securities and Markets Authority (ESMA), the EU's securities markets regulator, has released a public statement on the implementation of the changes to the clearing obligation (CO) and derivative trading obligation (DTO) in light of the benchmark transition.
The Statement clarifies the situation in which ESMA's proposed draft regulatory technical standards (RTSs) on the CO and DTO will not enter into force in time for the transition to alternative benchmarks of EONIA or LIBOR- based OTC derivative contracts by the end of 2021.
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Source: ESMA
Official Statistics: Forecasts for the UK economy: December 2021
December 15, 2021--A comparison of independent forecasts for the UK economy in December 2021.
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Source: gov.uk
ECB-Euro area securities issues statistics: October 2021
December 10, 2021--The annual growth rate of the outstanding amount of debt securities issued by euro area residents was 4.3% in October 2021, compared with 4.1% in September.
For the outstanding amount of listed shares issued by euro area residents, the annual growth rate was 2.2% in October 2021, compared with 2.4% in September.
Debt securities
New issuances of debt securities by euro area residents totalled EUR 710.9 billion in October 2021. Redemptions amounted to EUR 690.6 billion and hence net issues to EUR 20.2 billion. The annual growth rate of outstanding debt securities issued by euro area residents was 4.3% in October 2021, compared with 4.1% in September.
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Source: ECB
Only a third of active equity funds outperformed passives in 2021
December 7, 2021--Only a third of active equity funds outperformed passives in 2021
AJ Bell's latest 'Manager versus Machine' report
Only a third of active equity funds (34%) beat a passive alternative this year, according to a new report from AJ Bell.
The company's latest 'Manager versus Machine' report analysed about 800 retail funds, finding that active funds performed particularly poorly in the US, Global, and Asia Pacific regions. The report...
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Source: investmentweek.co.uk
European investors use ETFs to pile into US equities
December 6, 2021--US equity ETFs attract €27bn in the 10 months to end of October, compared with only €5bn for European rivals.
Exchange traded funds have enabled the flow of billions of dollars from Europe into US equities as investors piled into ETFs exposed to this year's huge US stock market rally, data from Refinitiv show.
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Source: ft.com
ESMA publishes latest edition of its newsletter
December 3, 2021--The European Securities and Markets Authority (ESMA), the EU's securities markets regulator, has today published its latest edition of its Spotlight on Markets Newsletter.
Your one-stop-shop in the world of EU financial markets focuses this month on the Preliminary Report the EU Carbon Market and on ESMA's contribution to a more sustainable financial system.
The Preliminary Report the EU Carbon Market presents an overview of the financial regulatory environment for the carbon market under MAR, MiFID II and EMIR and the tools available to securities supervisors to fulfil their responsibilities. It also provides an analysis of price evolution and volatility in European emission allowances (EUAs) and derivatives on EUAs.
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Source: ESMA
Sweeping overhaul of UK listing rules comes into force
December 2, 2021--Changes by FCA aim to make London more attractive to fast-growing tech companies
Britain's chief financial regulator has finalised a sweeping overhaul of the listing rules, aimed at making the City more attractive to fast-growing companies from the technology and biotech sectors.
The reforms, which come into force on Friday, are part of a broader government-led push to make London a more appealing destination for global investors and companies after Brexit.
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Source: ft.com
Bitcoin Capital Expands its Crypto Asset Offering
December 2, 2021--FiCAS' subsidiary Bitcoin Capital AG proves pioneering spirit again and launches two new actively managed crypto ETPs on SIX Swiss Exchange:
1 FiCAS Active Bitcoin ETP
1 FiCAS Active Ethereum ETP
Bitcoin Capital announced today that it has again listed two world firsts on the SIX Swiss Exchange. With 1 FiCAS Active Bitcoin ETP and 1 FiCAS Active Ethereum ETP, the company has launched two products actively managed by the highly experienced crypto asset manager FICAS AG.
With active management, the products aim to counter negative price fluctuations and therefore outperform the two largest cryptocurrencies by capitalization. With the listing, institutional, professional, and private investors in Switzerland, Liechtenstein, and the European Union (excluding Hungary) can easily invest in the new products via their bank or broker, just as they do with other listed financial investments such as equities or bonds.
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Source: SEC.gov
Crypto ETNs of ETC Group now also tradable in US dollars on Xetra
November 29, 2021--Deutsche Börse expands its offering with multi-currency trading for ETFs & ETPs
Deutsche Börse is further expanding its trading offering of ETFs & ETPs: four crypto exchange traded notes (ETNs) from ETC Group are tradable in the trading currency US dollar on Xetra for the first time. Deutsche Börse is thus expanding its already successful offering in the euro trading currency with additional listings in US dollars.
Investors can now trade the respective ETNs directly in the base currency of the underlying cryptocurrencies on Xetra.
ETC Group's ETNs on Bitcoin, Bitcoin Cash, Ethereum and Litecoin, which are admitted to the Regulated Market of the Frankfurt Stock Exchange, offer easy access to the performance of the respective cryptocurrencies. They are fully backed by the corresponding cryptocurrency.
Investors can trade each of these four products flexibly, using the same ISIN in the preferred currency. The trading currency can be selected by an individually assigned ticker code. With the new trading offer, investors continue to benefit from central clearing of the products and the resulting advantages. These include, in particular, higher settlement efficiency and the reduction of counterparty risks in trading.
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Source: Deutsche Börse Group
ESMA continues to see risk of market corrections amid elevated valuations
November 26, 2021--The European Securities and Markets Authority (ESMA), the EU's securities markets regulator, today publishes the second Risk Dashboard for 2021, covering the third quarter of the year. ESMA maintains risk levels unchanged, at a high level, as the market environment remains defined by very high uncertainty, continued elevated asset valuations with risk of price corrections and abrupt shifts in risk premia.
Market reactions to the issues related to Evergrande have shown the continued importance of event risks, the reactivity of markets to such events, and the continued potential impact on investors and financial stability going forward.
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Source: ESMA
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