Smart beta growth engine sputters as investors question strategy -continued

November 4, 2018--Active-passive hybrid funds on course for lowest level of inflows in five years.
Smart beta funds take an ordinary index and tweak it based on so-called factors , such as comparing prices of the underlying stocks with earnings. There are growing concerns, however, about the quality of some smart beta strategies.

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Global ETP News
Basel Committee consults on disclosure requirement to address leverage ratio window-dressing
December 13, 2018--The Basel Committee on Banking Supervision today published a consultative document entitled Revisions to leverage ratio disclosure requirements.
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Growth Fears Dent Commodities Prices
December 13, 2018--Many key commodities are on track to notch declines this year, underlining how fears of slowing growth, global-trade tensions and a persistently strong dollar have hammered prices for raw materials.
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Basel Committee publishes updated Basel III disclosure requirements
December 11, 2018--The Basel Committee on Banking Supervision has published today updated Pillar 3 disclosure requirements. These requirements, together with the updates published in January 2015 and March 2017, complete the Pillar 3 framework.
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World Economic Forum Report Addresses Crisis of Trust, Slowing Growth in Our Digital World
December 10, 2018--The digital world is facing a crisis with slowing internet growth and declining levels of trust that urgently need to be addressed
60% of global GDP is expected to be digitized by 2022, with very little distinction between the digital economy and the economy, or between digital society and society.
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IMF Working Paper-The Modern Hyperinflation Cycle: Some New Empirical Regularities
December 7, 2018--Using a database of up to 62 variables for 196 countries over 57 years, a hyperinflation cycle has been characterized to propose a broader setting of stylized facts. Beyond the usual facts, the findings in this paper contribute to the literature of modern hyperinflations in that these cycles occur in contexts where there are (i) depressed economic freedoms, (ii) deteriorated socioeconomic conditions and rule of law, as well as (iii) high levels of domestic conflictivity and government instability.
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IMF Working Paper-Demographics, Old-Age Transfers and the Current Account
December 7, 2018--Building on the evolving literature on the topic, this paper reviews the relationship between demographics and long-run capital flows in both theory and in the data. For this purpose, we develop a two region overlapping generations model where countries differ in their population growth and mortality risk.
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IMF Working Papers-Pouring Oil on Fire: Interest Deductibility and Corporate Debt
December 7, 2018--Summary:
This paper investigates the role of tax incentives towards debt finance in the buildup of leverage in the nonfinancial corporate (NFC) sector, using a large firm-level dataset. We find that so-called debt bias is a significant driver of leverage, for both small and medium-sized enterprises and larger firms, with its effect accounting for about a quarter of leverage.
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Fidelity eyes robo-advice launch as banks pile in
December 7, 2018--Fidelity eyes robo-advice launch as banks pile in
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$11trn emerging-market lure that heralds 2019 revival
December 4, 2018--First, the bad news: corporate earnings across emerging markets aren't as good as analysts hoped.
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Cyber-resilience: range of practices report issued by the Basel Committee
December 4, 2018--The Basel Committee on Banking Supervision today published the report Cyber-resilience: range of practices. It identifies, describes and compares the range of observed bank, regulatory and supervisory cyber-resilience practices across jurisdictions.
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BlackRock warns investors to 'build resilience' against recession
December 2, 2018--BlackRock has warned clients to "build resilience" into investment portfolios with the help of new asset-class performance forecasts that it will release this week.
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Fidelity Looking to Expand Digital Asset Trading Beyond Bitcoin and Ether
November 29, 2018--Fidelity Investments is looking to expand its institutional crypto asset platform to include trading services for the top five to seven cryptocurrencies by market capitalization.
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Independent broker-dealers fastest-growing brokerage group
November 28, 2018--Independent broker-dealers saw the greatest asset growth over the past five years compared with other types of broker-dealers, according to new research from industry consultant Cerulli.
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OECD International trade statistics: trends in third quarter 2018
November 28, 2018--Weak growth of G20 international merchandise trade in third quarter of 2018
G20 international merchandise trade, seasonally adjusted and expressed in current US dollars, grew marginally in the third quarter of 2018, on the back of rising oil prices, with G20 exports rising by 0.3% and imports by 0.7%, following the minor contractions in the second quarter of 2018.
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Galaxy Digital, Cumberland and More Plan New Crypto Code of Conduct
November 27, 2018--A group of 10 companies focused on cryptocurrencies and financial services have formed a new group aimed at standardizing a code of conduct for the still-nascent digital asset space.
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OECD-New report says better metrics could have prompted stronger response to the crisis
November 27, 2018--Better measurement of the economy and of people's well-being could have led governments to respond more strongly to mitigate the damage caused by the 2008 financial crisis and reduce people's continuing loss of trust in public institutions, according to a new report.
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Traders Put $1.3 Billion Into Emerging ETFs
November 26, 2018--The move back to emerging markets gained momentum last week as traders shrugged off equity declines amid bullish calls from some of the world’s largest investment firms.
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ETF rise helps damp down market distortions, research finds
November 24, 2018--Study shows reduction of 'index effect'. where prices rise before shares are included.
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Why the 2018 bitcoin price crash is just a 'blip not a bubble bursting'
November 23, 2018--The price of bitcoin has often been compared to history's biggest bubbles-Dutch Tulip mania in the 17th century, the Mississippi Bubble in the 18th century and the UK Canal and Railway mania in the 19th century-but perhaps the most popular comparison is the dot-com bubble of 2000.
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Global growth is slowing amid rising trade and financial risks
November 21, 2018--Global economic growth remains strong but has passed its recent peak and faces escalating risks including rising trade tensions and tightening financial conditions, according to the OECD's latest Economic Outlook.
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Slowing Growth and Interest Rate Fears Weigh on Fund and ETF Investors in October
November 19, 2018--For the second month in a row investors were net redeemers of mutual fund assets, withdrawing $28.7 billion from the conventional funds (ex-ETFs) business for October. Rising interest rates and fears of slowing global growth weighed on flows into long-term funds.
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FSB and standard-setting bodies publish final report on effects of reforms on incentives to centrally clear over-the-counter derivatives
November 19, 2018--The Financial Stability Board (FSB), the Basel Committee on Banking Supervision (BCBS), the Committee on Payments and Market Infrastructures (CPMI) and the International Organization of Securities Commissions (IOSCO) published today their final report on Incentives to centrally clear over-the-counter (OTC) derivatives.
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Oil's slide hands junk bond ETFs their biggest weekly drop since February
November 16, 2018--The tumbling price of crude oil in the past fortnight has put two of the biggest junk bond exchange traded funds on track for their worst weekly performances in nine months.
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Stablecoins are crypto sector's next big bet
November 16, 2018--'Hybrid' cryptocurrencies are often pegged to real assets, including fiat currencies
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Basel Committee publishes more details on global systemically important banks
November 16, 2018--The Basel Committee on Banking Supervision today published further information related to its 2018 assessment of global systemically important banks (G-SIBs), including additional details to help understand the scoring methodology.
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Islamic Countries Challenge USD 'Sanctioning Tool' With Planned Common Cryptocurrency
November 16, 2018--Muslim countries around the world are planning to push back against the U.S. dollar's long global dominance by creating a common digital currency for use in Islamic states.
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IMF Working Papers-Populism and Civil Society
November 16, 2018--Summary:
Populists claim to be the only legitimate representative of the people. Does it mean that there is no space for civil society? The issue is important because since Tocqueville (1835), associations and civil society have been recognized as a key factor in a healthy liberal democracy.
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