World Economic Outlook Update Global Recovery Stalls, Downside Risks Intensify -continued

January 24, 2012--The global recovery is threatened by intensifying strains in the euro area and fragilities elsewhere. Financial conditions have deteriorated, growth prospects have dimmed, and downside risks have escalated. Global output is projected to expand by 3¼ percent in 2012 -a downward revision of about ¾ percentage point relative to the September 2011 World Economic Outlook (WEO).
This is largely because the euro area economy is now expected to go into a mild recession in 2012 as a result of the rise in sovereign yields, the effects of bank deleveraging on the real economy, and the impact of additional fiscal consolidation. Growth in emerging and developing economies is also expected to slow because of the worsening external environment and a weakening of internal demand.

The most immediate policy challenge is to restore confidence and put an end to the crisis in the euro area by supporting growth, while sustaining adjustment, containing deleveraging, and providing more liquidity and monetary accommodation. In other major advanced economies, the key policy requirements are to address medium-term fiscal imbalances and to repair and reform financial systems, while sustaining the recovery. In emerging and developing economies, near-term policy should focus on responding to moderating domestic growth and to slowing external demand from advanced economies.

Financial risks escalate, global growth decelerates

Global growth prospects dimmed and risks sharply escalated during the fourth quarter of 2011, as the euro area crisis entered a perilous new phase. Activity remained relatively robust throughout the third quarter, with global GDP expanding at an annualized rate of 3½ percent—only slightly worse than forecast in the September 2011 WEO.

read more

Source: IMF

Global ETP News
BlackRock ETP Landscape: Strong June caps best quarter in 5 years
July 7, 2014--Year-to-date global ETP flows of $123.9bn were up 25% vs. the first half of last year following a Q2 total of $90.6bn that exceeded any quarter in the past 5 years
read more
ETFs And ETPs Listed Globally Reached Record 2.64 Trillion U.S. Dollars In Assets At End Q2 2014
According to ETFGI: ETFs and ETPs listed globally reached US$2.64 trillion in assets, a new record high, at the end of Q2 2014
July 7, 2014--ETFs and ETPs listed globally gathered U.S. $34.8 billion in net new assets in June and U.S. $126.6 billion YTD, which outpaces the previous high of U.S. $106.4 billion at this point set in 2012.
read more
BATS Global Markets June Highlights: Market Share Remains Strong Globally; Company Plans New York, Chicago Expansion
BATS Chi-X Europe Reports 20.3% Market Share
July 7, 2014--BATS Global Markets (BATS) today reported June volume, market share, and monthly highlights:
In the U.S., BATS earned 19.2% U.S. equities market share in June, up from 10.4% a year ago. BATS Options recorded 3.9% market share vs. 3.8% one year ago.
read more
ETF Securities-Precious Metals Weekly-Platinum Breaches US $1,500/oz on Strong Auto Sales and Supply Constraints
July 7, 2014--Platinum and palladium prices hit new 2014 highs. Strong global vehicle sales, coupled with news of a new strike in South Africa and continued tensions in the Ukraine supported 1.6% and 1.9% gains in platinum and palladium (PGMs) last week.
read more
Investors favour equity ETFs: report
July 4, 2014--Investors had found comfort in equity exchange-traded funds (ETF), with the products experiencing nearly US$84 billion in inflows in 2013 so far, according to a State Street Global Advisors (SSgA) report.
read more
Bitcoin Faces Regulatory Backlash as EU Tells Banks to Stay Away
July 4, 2014--The European Commission signaled it will try to impose rules on virtual currencies such as Bitcoin after the bloc's banking regulator ordered lenders to shun them.
read more
ETFs back on song in second quarter
July 4, 2014--Exchange-traded fund inflows shot up to $123.9 billion in the first half of the year, a rise of 25% compared with the same period in 2013, after a strong performance in the second quarter, according to data compiled by BlackRock.
read more
Morgan Stanley buys Deutsche's bulk commodities trading book
July 3, 2014--Morgan Stanley has bought Deutsche Bank's bulk commodities trading book dealing in coal, iron ore and freight forward contracts to expand in commodities derivatives, a source familiar with the matter said on Thursday.
read more
DB Markets Research-The Flow Whisperer TAARSS says increase equities, but still prefer fixed income in Q3
Tactical Asset Allocation Relative Strength Signal (TAARSS) Monthly Update
July 2, 2014--Market review
Global equities (ACWI) extended their May rally into the month of June by adding 1.82%. In turn, US bonds (AGG) were mostly flat during the same period (-0.06%); while,Commodities recovered from the previous month losses by recording a 2.11% gain in June.
read more
Average daily volume of 8.0 million contracts at Eurex Group in June
July 2, 2014--In June, the international derivatives exchanges of Eurex Group recorded an average daily volume of 8.0 million contracts (June 2013: 10.1 million). Of those, 6.0 million were Eurex Exchange contracts (June 2013: 8.1 million), and 2.0 million contracts (June 2013: 2.7 million) were traded at the U.S.-based International Securities Exchange (ISE). In total, 126.0 million contracts were traded at Eurex Exchange and 42.0 million at the ISE.
read more
IMF Working-Growth: Now and Forever?
July 2, 2014--Summary: Forecasters often predict continued rapid economic growth into the medium and long term for countries that have recently experienced strong growth.
read more
Concern over siloed approaches to collateral
July 2, 2014--While regulation increases collateral needs, particularly as the derivatives market moves toward central clearing, market participants are cobbling together fragmented systems, manual processes, and siloed approaches to ensure compliance, creating significant inefficiencies,says Sapient Global Markets in a recent whitepaper.
read more
Global growth to slow as wage inequality rises over coming decades, says OECD
July 2, 2014--A slowdown in global economic growth and a continuing rise in income inequality are projected for the coming decades, according to a new OECD study which looks beyond the crisis at what the world could look like by 2060.
read more
BlackRock ETFs near $1 trillion as it loses market share to Vanguard
June 30, 2014--Even as BlackRock Inc is set to amass $1 trillion in exchange-traded fund assets in its iShares business, US Retail investors increasingly prefer to send their money to low-cost leader Vanguard Group, highlighting a weak spot for the world's biggest money manager.
read more
Chinese lenders made 30% of global bank profits
June 30, 2014-China's top banks have accounted for almost one-third of a record $920bn of profits made by the world's biggest 1,000 banks in 2013,
read more
Time to step out of the shadow of the crisis, says BIS in 84th Annual Report
June 29, 2014--A new policy compass is needed to help the global economy step out of the shadow of the Great Financial Crisis, writes the Bank for International Settlements (BIS) in its 84th Annual Report, released today. In its main economic review for the year, the BIS calls for adjustments to the current policy mix and to policy frameworks with the aim of restoring sustainable and balanced economic growth.
read more
LSE to Buy Frank Russell to Expand Play in Indexes, ETF
June 26, 2014--London Stock Exchange Group Plc (LSE) agreed to buy Frank Russell Co., a unit of Northwestern Mutual Life Insurance Co., for $2.7 billion to bolster its FTSE International Ltd. business.
read more
IOSCO Issues Report on Risk Identification and Assessment Methodologies
June 26, 2014--The International Organization of Securities Commissions (IOSCO) today published a report on Risk Identification and Assessment Methodologies for Securities Regulators, which provides a practical overview of the methods, approaches and tools that IOSCO and securities regulators have developed to identify and assess emerging and potential systemic risks.
read more
SEI Study: Active Exchange Traded Funds Remain On Growth Trajectory In 2014
Market Grew by 30 Products, $2.5 Billion AUM in Past Year
June 25, 2014--Actively managed exchange traded funds (ETFs) have seen significant growth in the number of products offered and assets under management over the past year and continue to gain popularity as an investment vehicle, according to a paper released today by SEI.
read more
Chinese to liberalize renminbi, but will do it its way
June 25, 2014--For several years, a great dilemma has surrounded China's drawn-out campaign to open up its financial markets, liberalize capital flows and allow the renminbi (yuan) to become a much more important trade and investment currency on the world stage.
read more
China expands plans for World Bank rival
June 24, 2014--China is expanding plans to establish a global financial institution to rival the World Bank and the Asian Development Bank, which Beijing fears are too influenced by the US and its allies.
read more
Vanguard: 50% of advisers plan to increase ETF usage
June 24, 2014--Nearly all advisers surveyed by Vanguard Asset Management plan to maintain or increase their Exchange Traded Funds (ETFs) allocation over the next 12 to 24 months.
read more
New Study Adds Up the Benefits of Climate-Smart Development in Lives, Jobs, and GDP
June 23, 2014--STORY HIGHLIGHTS: With careful design, the same development projects that improve communities, save lives, and increase GDP can also fight climate change.
A new study examines the multiple benefits for a series of policy scenarios addressing transportation and energy efficiency in buildings and industry in five countries and the European Union.
read more
"Thousands of firms" could quit EU trading
June 23, 2014--Mifid II plans could force thousands of foreign firms out of Europe
Provisions within Mifid II to regulate direct electronic access could result in thousands of non-EU firms ceasing trading on European derivatives markets.
read more
Fears mount over asset managers' shadow banking operations
June 23, 2014--The shrinking banking sector is creating a "major opportunity" for asset managers to step into the lending breach, but concern is mounting over their "shadow bank" operations and rising systemic importance.
read more
Central Bank Reserve Managers More Cautious as Fed Tapers
June 23, 2014--Central bank reserve managers across the world are ready to take a more cautious approach to investment as the U.S. Federal Reserve continues to reduce its monetary stimulus, with the full effect of such tapering still to be felt so far as demand for riskier assets is concerned.
read more
Expansion Into the Vast World of Commodities
June 23, 2014--From lean hogs to gold, the world of commodities is as vast as the world around us. On July 1, Bloomberg will take control of UBS's leading commodity index, a diversified index that provides investors with exposure to the most widely followed commodities in the world.
read more
ETF Securities-Precious Metals Weekly--Silver Leads Precious Metals Price and Volatility Recovery
June 23, 2014--Gold and silver surge as the Fed keeps rates low, against a backdrop of geopolitical instability. Sparked by a dovish FOMC meeting announcement, precious metals rallied sharply last week, led by the 5.3% gain in silver, with gold posting a 3.1% increase.
read more
IMF Working paper-Financial Plumbing and Monetary Policy
June 20, 2014-Summary: This paper focuses on how changes in financial plumbing of the markets may impact the monetary policy options as central banks contemplate lift off from zero lower bound (ZLB).
read more
WGC-Gold Investor: risk management and capital preservation-Volume 6
June 19, 2014--The sixth edition of Gold Investor discusses gold's role as a liquid alternative to stocks, bonds and cash, and highlights its ability to improve portfolio risk-adjusted returns for investors-even if they hold other alternative assets.
read more
BlackRock's iShares Canada Chief Wiley Departs Company
June 19, 2014--Mary Anne Wiley left her position as managing director and head of iShares Canada, the exchange-traded funds unit of BlackRock Inc. (BLK), as competitors encroach on the company's leading market share.
read more
World Gold Council calls meeting to explore gold fix reform
June 18, 2014--A discussion by gold buyers and sellers across the market on ways to reform or replace London's global price benchmark, known as the "fix", will be held next month by the World Gold Council.
read more
Minerals Can Boost Well-being in Developing Countries
Mineral wealth need not be 'curse', study says.
Well-being improved faster where mining fueled growth.
Appropriate structures must be in place to manage the large revenue inflows in a responsible and transparent manner.
read more
Deutsche Asset & Wealth Management Expands its Passive Distribution Team for U.S. Western Region
June 18, 2014--Deutsche Asset & Wealth Management (DeAWM) announced today that it has hired four Regional Vice Presidents to support the growth and coverage of its U.S. exchange-traded products (ETP) platform in the Western region.
read more
IMF Working paper-Impact of Fed Tapering Announcements on Emerging Markets
June 17, 2014--Summary: This paper analyzes market reactions to the 2013-14 Fed announcements relating to tapering of asset purchases and their relationship to macroeconomic fundamentals and country economic and financial structures. The study uses daily data on exchange rates, government bond yields, and stock prices for 21 emerging markets.
read more
IOSCO Research Department Publishes Securities Markets Risk Survey
June 17, 2014--The Research Department of the International Organization of Securities Commissions (IOSCO) today published a Staff Working Paper entitled A Survey of Securities Markets Risk Trends 2014: Methodology and Detailed Results, which provides a detailed analysis of responses to its annual survey on market trends and emerging risks.
read more
ETF strategy waits to gain in currency
June 17, 2014--While investors have been ploughing money into exchange-traded products over the past few years, niche exchange-traded funds that specialise in currency strategies have proved an exception to the rule.
read more
Smart beta: A deeper look at asset owner usage and perceptions-findings from Russell's global survey
June 16, 2014--Overview:
Smart beta poses an interesting opportunity and challenge for assert owners, managers and consultants as the industry discussion continues to evolve. In January 2014, Russell's index business conducted a survey of approximately 200 institutional asset owners with at least $200 million in assets under management(AUM) in North America and Europe.
read more
Nomura Hires Etf Securities Emea Distribution Head
June 13, 2014--The Japanese bank has also hired a new head of equity sales and a global head of execution services and equity trading in London this year.
read more
OECD G20 GDP growth, first quarter of 2014
G20 GDP growth steady at 0.8% in first quarter of 2014
June 12, 2014--Quarterly Gross Domestic Product (GDP) in the G20 area grew by 0.8% in the first quarter of 2014, the same rate as in the previous quarter, according to preliminary estimates.
Among G20 economies, India recorded the strongest growth at 2.1%, compared with 1.1% in the previous quarter. GDP growth slowed in China and Indonesia but remained strong at 1.4% and 1.2%, compared with 1.7% and 1.3% respectively in the previous quarter. In other BRIICS countries growth remained relatively weak.
read more
Emerging Markets Face Tough Climb Back to Past Growth Levels
June 12, 2014--Structural factors weigh on emerging market growth
External environment less supportive, but impact varies by country
Countries need to rethink growth engines, focus on structural reforms
As the global environment turns less supportive and productivity gains of the last decade fade, growth in emerging markets will have to come from new engines, supported by a new wave of structural reforms, a new IMF study says.
read more
IOSCO Intensifies work on Market-Based Finance
June 12, 2014--The Board of the International Organization of Securities Commissions (IOSCO) met in Madrid this week to drive forward IOSCO's work on market-based finance.
Chairman Greg Medcraft said 'Capital markets are emerging as a key source of the finance needed across the globe to drive economic growth. Through a work agenda focused on fostering markets as a trusted source of capital, IOSCO is playing an important role in supporting that growth.'
read more
MSCI leaves Chinese stocks out of indices
June 11, 2014--MSCI has chosen not to press ahead with a controversial plan to add mainland Chinese equities to its global benchmark indices, while South Korea and Taiwan will no longer be considered for a developed markets ranking.
read more
Euronext stock market set for ICE spin-off
June 11, 2014--US stock market operator ICE began spinning off the pan-European market Euronext on Tuesday in an operation which could raise 1.75 billion euros and will leave three main operators fighting for business in Europe.
read more
IMF Working paper-Economic Impact of Selected Conflicts in the Middle East: What Can We Learn from the Past?
June 11, 2014--Summary: Using narrative-based country-case studies, war episodes in the Middle East were examined to assess their economic impact on conflict and neighboring economies. The paper found that conflicts led to a contraction in growth, higher inflation, large fiscal and current account deficits, loss of reserves, and a weakened financial system.
read more
What Does It Mean to Put a Price on Carbon?
June 11, 2014--STORY HIGHLIGHTS: Carbon pricing is gaining attention as a way to address climate change. About 40 countries and more than 20 cities, states and provinces use carbon pricing mechanisms such as emissions trading systems and carbon taxes or are preparing to implement them.
read more
WB Lowers Projections for Global Economic Outlook, Urges Developing Countries to Double Down On Domestic Reforms
June 10, 2014--Developing countries are headed for a year of disappointing growth, as first quarter weakness in 2014 has delayed an expected pick-up in economic activity, according to the World Bank's Global Economic Prospects (GEP) report, released today.
read more
IMF Working Paper--After the Fall: Lessons for Policy Cooperation from the Global Crisis
June 10, 2014-Summary: A crisis is a terrible thing to waste, and nowhere is this truer than in the arena of international economic policy cooperation. With the world facing the largest and most synchronized plunge in output of the postwar era, policy makers banded together to find solutions. This paper looks at the lessons from what did-and did not-occur in the area of policy cooperation since the crisis.
read more