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ETFGI WEEKLY NEWSLETTER

Summary

Welcome to the August 14th, issue of the ETFGI Newsletter covering: People and Industry news in the Global ETF industry/ ecosystem and upcoming Events.

Please send your press releases on people and industry news or any relevant comments to info@etfgi.com.

If you have any colleagues who you think could benefit from receiving their own digital edition of the ETFGI Newsletter, please forward this email to them.

Visit our website to find out more about who we are and the services we offer.

ETFGI WEEKLY NEWSLETTER

August 14, 2017

Welcome to the August 14th, issue of the ETFGI Newsletter covering: People and Industry news in the Global ETF industry/ ecosystem and upcoming Events.

Please send your press releases on people and industry news or any relevant comments to info@etfgi.com. If you have any colleagues who you think could benefit from receiving their own digital edition of the ETFGI Newsletter, please forward this email to them so they can register for their own copy. Click here

FEATURED NEWS

Global ETFs/ETPs Industry Leads Global Hedge Fund Industry By $1 Trillion For The First Time | Seeking Alpha Read More

FCA Report: Active Funds Are Still 'Playing Catch Up' With ETFs, Claim Industry Experts | Seeking Alpha Read More

ETF Industry Hopes CBI Paper Will 'Put ETF Misconceptions To Bed' | Seeking Alpha Read More

Videos

 ETFs | Masterclass | asset.tv Watch Here

 

PEOPLE NEWS

United States

Congratulate Lance Wordelmann, AIF for starting a new position as Managing Director at Pacer ETFs

Previously he was Chief Operating Officer - Head of Business Development at Metric Advisors. Linkedin

Congratulate Eric Weil for starting a new position as Head of Data Governance - Cross-platforms data projects - Data management at MSCI Inc.   Previously he was Head of Index Production at MSCI Inc. Linkedin

Congratulate Chris Wright, CFP® for starting a new position as Senior Internal Sales Consultant at Vanguard

Previously he was Financial Planner at Vanguard. Linkedin

Europe

Congratulate Nik Bienkowski for starting a new position as Founder, Co-CEO at HANetf.  Previously Co-CEO at WisdomTree Europe Ltd. Linkedin

Congratulate Ian 'Hector' McNeil for starting a new position as Co CEO at HANetf.  Previously Co-CEO and Founder at Boost ETP, A WisdomTree Company. Linkedin

Congratulate Jordan Harris on starting a new position as Institutional Sales Associate at Fidelity. Previously he was International, Co Founder at Encounter Contemporary. Linkedin

Congratulate Daniel Ung, CFA, CAIA, FRM for starting a new position as SPDR Senior ETF Strategist at SPDR Exchange Traded Funds (ETFs).  Previously he was Director of Research & Product Design at S&P Dow Jones Indices. Linkedin

Latin America

Congratulate Jose Romero Paba for starting a new position as Vice President at BlackRock. 

Previously Vice President Sales Trading at INTL FCStone Inc. Linkedin

Asia Pacific

Congratulate Chris Jones for starting a new position as Program Director Future Advice Model at Commonwealth Bank.  Previously Financial Planning Manager at Commonwealth Bank. Linkedin

Congratulate Ajay Nambiar for starting a new position as Associate - Global Risk at Nomura

Previously Assistant Manager - Collaterals at National Stock Exchange of India Limited. Linkedin

INDUSTRY NEWS

 During the week of August 7th there were 15 new ETFs/ETPs listed and 12 new cross listings globally.

United States

 Filings

  • VanEck filed for the Van Eck Bitcoin Strategy ETF
    • VanEck Vectors® Bitcoin Strategy ETF is an actively managed ETF.
    • The Fund seeks to achieve its investment objective by investing, under normal circumstances, in U.S. exchange-traded bitcoin-linked derivative instruments (“Bitcoin Instruments”) and pooled investment vehicles and exchange-traded products that provide exposure to bitcoin (together with Bitcoin Instruments, “Bitcoin Investments”).
    • The Fund is an actively managed exchange-traded fund (“ETF”) and should not be confused with one that is designed to track the performance of a specified index.
    • The ETF will invest in bitcoin instruments via a Cayman Islands subsidiary (It will comprise no more than 25% of the total portfolio). The remainder of the portfolio will be invested in fixed-income vehicles.
    • No disclosure of fees or tickers.
  • Inspire Investing filed for the Inspire 100 ETF
    • The ETF will have an expense ratio of 35 BPs
      • The ETF will track the Inspire 100 Index.
      • The index provider selects domestic large capitalization equity securities using the index provider’s Inspire Impact Score®, a proprietary selection methodology that is designed to assign a score to a particular security based on the security’s alignment with biblical values and the positive impact that company has on the world through various environmental, social and governance criterion.
      • The methodology removes from the investment universe the securities of any company that has any degree of participation in activities that do not align with biblical values, which are: abortion, gambling, alcohol, tobacco, pornography, LGBT lifestyle among others.
  • Legg Mason filed for the Western Asset Core Plus Opportunities ETF
    • The ETF will have an expense ratio of 45 BPs.
    • The actively managed ETF seeks to maximize total return, consistent with prudent investment management and liquidity needs, by investing to maintain the average duration specified in the prospectus.
    • Although the fund may invest in securities of any maturity, the fund will normally maintain a dollar-weighted average effective duration within 35% of the average duration of the U.S. bond market as a whole.
  • Eaton Vance filed for the Eaton Vance Diversified Credit NextShares:
    • The ETFMF will have fees of 90 BPs.
    • The Fund invests in securities and other instruments to establish investment exposures to credit markets around the world.
    • The Fund currently expects to invest at least 50% of its net assets in securities or other instruments issued by issuers located in the United States. The Fund will invest at least 25% of its net assets in a combination of high yield debt securities and senior loans.  

Launches

  • iShares launched the iShares Russell 1000 Pure US Revenue ETF (NASDAQ:AMCA)
    • The ETF tracks the Russell 1000 Pure Domestic Exposure Index, consisting of those companies within the Russell 1000 Index that source at least 90% of their total revenue from the US.
    • AMCA has a total expense ratio (TER) of 0.15%.
    • Link to the news’ source
  • First Trust launched the First Trust Dow 30 Equal Weight ETF (NYSEARCA:EDOW)
    • The ETF will track the Dow Jones Industrial Average® Equal Weight Index (the “DJIA Equal Weight Index”).
    • The DJIA Equal Weight Index is an equal-weight version of the Dow Jones Industrial Average (“DJIA”).
    • The DJIA is a price-weighted index, comprised of 30 well-known, mega-cap companies. In contrast, the DJIA Equal Weight Index gives the same weight to each of the 30 constituents, allowing all companies to contribute equally, regardless of their price, which we believe may significantly reduce stock specific risk relative to price weighting.
    • The fund comes with an expense ratio of 0.50% and lists on the NYSE Arca exchange.
    • Link to the news’ source

Closures

·        

Horizons ETFs Management (US) LLC announces the closure of Horizons US Managed Risk ETF (USMR)

    • Horizons announced that they will be terminating the Horizons US Managed Risk ETF on September 8, 2017.
    • No disclosure of the reasons behind the ETF closure.
    • Link to the news’ source

Industry Events

E*TRADE Bolsters Commission-Free ETF Lineup with 21 New Additions | Business Wire Read More 

Customers can build customized, diversified portfolios made entirely of commission-free ETFs. E*TRADE Financial Corporation (NASDAQ: ETFC) today announced a significant expansion of its commission-free exchange-traded fund (ETF) lineup:

“They provide seamless access to strategies and sectors once reserved only for professionals. With the recent additions to our Commission-Free ETF Platform, comprehensive diversification is now more easily and cheaply attainable than ever before.”

With these additions, E*TRADE now offers a total of 149 non-proprietary, commission-free ETFs—one of the largest offerings in the industry.

New additions include ETFs from ACSI Funds, ArrowShares, ETF Securities, Janus Henderson, J.P. Morgan Asset Management, Legg Mason, and OppenheimerFunds.

E*TRADE customers can further diversify their portfolio with ETF offerings in domestic, international, fixed income, and specialty equities without paying commissions.

“While mirroring broad indexes is an important and tried and true use for ETFs, today you can also do so much more with these vehicles,” said Rich Messina, SVP of Investment Product at E*TRADE Financial. “They provide seamless access to strategies and sectors once reserved only for professionals. With the recent additions to our Commission-Free ETF Platform, comprehensive diversification is now more easily and cheaply attainable than ever before.”

Commission-free ETFs added to the E*TRADE platform are listed below

  • Vanguard planned changes for Three Bond Funds and ETFs
    • Vanguard will change the benchmarks of three government bond index ETFs and ETFs to pure Treasury Indexes.
    • The funds will be renamed to reflect the new benchmarks, as detailed in the table below.
    • The move from government to U.S. Treasury index funds results in a series that will complement existing actively managed counterparts.
    • Link to the news’ source

ETF name

New ETF name

Current Benchmark

New name Benchmark

Vanguard Short-Term Government Bond Index Fund

Vanguard Short-Term Treasury Index Fund

Bloomberg Barclays U.S. 1-3 Year Government Float Adjusted Index

Bloomberg Barclays US Treasury Bond 1-3 Year Term Float Adjusted Index

Vanguard Intermediate-Term Government Bond Index Fund

Vanguard Intermediate-Term Treasury Index Fund

 

Bloomberg Barclays U.S. 3-10 Year Government Float Adjusted Index

Bloomberg Barclays US Treasury Bond 3-10 Year Term Float Adjusted Index

Vanguard Long-Term Government Bond Index Fund

Vanguard Long-Term Treasury Index Fund

 

Bloomberg Barclays U.S. Long Government Float Adjusted Index

Bloomberg Barclays US Long Treasury Float Adjusted Index

  • ROBO, The First Robotics & Automation ETF, Hits $1 Billion in Assets Under Management
    • The ROBO Global Robotics & Automation Index ETF ( ROBO ) recently surpassed $1 billion in assets under management (AUM), achieving that key benchmark less than four years after launching.
    • The ETF tracks the ROBO Global Robotics & Automation Index, which is the brainchild of a team deeply entrenched in the robotics industry who created the innovative methodology. The Index and subsequent ETF offer investors access to the entire value chain of robotics, automation and artificial intelligence. The ROBO Global Robotics & Automation Index is comprised of 83 global companies from 14 countries in North America, Europe, Asia and the Middle East and offers almost no overlap with traditional equity indices.
    • ROBO crossed the $1 billion AUM mark on August 8th.
    • Link to the news’ source
  • WisdomTree announced it will add China A-shares to two ETFs that exclude state-owned companies
    • The WisdomTree Emerging Markets ex-State-Owned Enterprises Fund (XSOE) and the WisdomTree China ex-State-Owned Enterprises Fund (CXSE) exCluce state-owned enterprises in their holdings
    • The change was effective on August 11.
    • According to the press release the A-share exposure will be capped at a 25% weight for XSOE and at 5% for CXSE.
    • Each ETF has expense ratios of 32 BPs.
    • Link to the news’ source
  •  iShares reduced fees on 11 ETFs:
    • 8 are fixed income ETFs and three are ESG based products.
    • Almost all the funds have around $1B in AUM, with the exception of ESGU which has nearly $5.4mm in AUM.
    • Below is the list:

ETF name

Ticker

Old Fees  in %

New Fees in %

iShares 0-5 Year Investment Grade Corporate Bond ETF

SLQD

0.08

0.06

iShares 0-5 Year TIPS Bond ETF

STIP

0.10

0.06

iShares Core 5-10 Year USD Bond ETF 

IMTB

0.08

0.06

iShares Core 1-5 Year USD Bond ETF 

ISTB

0.08

0.06

iShares Core 10+ Year USD Bond ETF 

ILTB

0.08

0.06

iShares Core Total USD Bond Market ETF 

IUSB

0.08

0.06

iShares Fallen Angels USD Bond ETF 

FALN

0.35

0.25

iShares Core International Aggregate Bond ETF 

IAGG

0.11

0.09

iShares MSCI EAFE ESG Optimized ETF 

ESGD

0.40

0.20

iShares MSCI USA ESG Optimized ETF

ESGU

0.28

0.15

iShares MSCI EM ESG Optimized ETF

ESGE

0.45

0.25

Link to the news’ source

Inaugural VictoryShares Volatility Weighted ETFs Achieve Three-Year Track Record and Earn 5-Star Overall Morningstar Ratings™ | Business Wire Read More . Victory Capital today announced that the first three of its VictoryShares volatility weighted ETFs have achieved their three-year track records and earned 5-Star Overall Morningstar Ratings™ in their respective categories as of July 31, 2017. The ETFs, which track the firm’s proprietary CEMP volatility weighted indexes, use a rules-based approach to seek to outperform traditional market cap weighted indexing strategies

National Philanthropic Trust Launches New Impact Investment Options for Donor-Advised Funds | Business Wire Read More  . National Philanthropic Trust (NPT) announced today the addition of four new impact investments to its donor-advised fund investment menu. The investments, all iShares ETFs, will offer donors investment options that have both social and financial returns.

NPT adding four new impact ETF investments to its donor-advised fund investment menu for increased impact

 “These new investments will offer our donors another way to increase their charitable impact,” said Eileen Heisman, President and CEO of National Philanthropic Trust. “There is a lot of interest in and research on impact investments right now. We want to honor our donors’ desire to create a double bottom line by investing their donor-advised fund assets to generate a social and financial return.”

Horizons ETFs Management (US) LLC. Announces ETF Closure | Business Wire Read More. Horizons ETFs Management (US) LLC. announced today that they will be terminating the Horizons US Managed Risk ETF (the "ETF") effective at the close of business on September 8, 2017 (the "Termination Date"). Details of the ETF are as follows.

September 8, 2017, is expected to be the last date that Authorized Participants may create and redeem units in USMR. At the request of the manager, the ETF is expected to be de-listed from the New York Stock Exchange at the close of business on or about September 8, 2017, with all units still held by investors being subject to a mandatory redemption as of the Termination Date.

Any remaining unitholders of the ETF as of the Termination Date will receive the net proceeds from the liquidation of the assets, less all liabilities and all expenses incurred in connection with the dissolution of the ETF, on a pro-rata basis. 

The AdvisorShares New Tech and Media ETF (Ticker: FNG) Lists Options on CBOE Read More (PRNewswire) -- AdvisorShares, a leading sponsor of actively managed exchange-traded funds (ETFs), announced today that the AdvisorShares New Tech and Media ETF (Ticker: FNG) has met listing requirements of the Chicago Board Options Exchange® (CBOE®) and that FNG options are now listed for trading on the CBOE. Susquehanna Securities, an affiliate of Susquehanna International Group, LLP, will act as specialist.

VIX Options and Futures Set New Daily Volume Records Read More  (PRNewswire) -- CBOE Holdings, Inc. (BATS: CBOE | NASDAQ: CBOE) said today that trading volume in options and futures on the CBOE Volatility Index® (VIX®) each reached new all-time highs on Thursday, August 10.   

In VIX options at CBOE, a reported 2,562,477 contracts traded on Thursday, surpassing the previous single-day record of 2,382,752 contracts on February 3, 2014.  Year-to-date through the end of July, average daily volume in VIX options was 687,181 contracts, 11 percent ahead of the same period a year ago.  

Europe

iShares’ grip on European ETF market loosens | Ignites Europe Read More

China funds shine for UK investors in 2017 19 per cent average return in the first half of the year| Financial Times Read More

EBA publishes a Discussion Paper on its approach to FinTech  | European Banking Authority Read More

Canada

 Launches

  • FT Portfolios to merge First Trust AlphaDEX Canadian Dividend ETF Into First Trust Canadian Capital Strength ETF
    • FT Portfolios Canada, will merge the First Trust AlphaDEX Canadian Dividend ETF (FDY) and First Trust Canadian Capital Strenght ETF (NYSE:FST), is to merge FDY into FST.
    • The Proposal should provide holders of units in FDY with several benefits, including the following: Broad market exposure, greater liquidity, and tax losses.
    • Link to the news' source
  • WisdomTree Canada Adds Non-Hedged Unit Class to Europe Hedged Equity Index ETF
    • WisdomTree Asset Management Canada, Inc. ("WisdomTree Canada"), today announced that non-hedged units of the WisdomTree Europe Hedged Equity Index ETF ("EHE") will commence trading on the Toronto Stock Exchange ("TSX") on August 10, 2017 under the ticker symbol EHE.B.
    • EHE seeks to track the price and yield performance of the WisdomTree Europe CAD-Hedged Equity Index, which is designed to provide exposure to dividend paying European equities while hedging exposure to fluctuations between the Euro and the Canadian dollar. The non-hedged units, in contrast, will not be hedged back to the Canadian dollar.
    • Link to the news' source

BMO Asset Management Inc. Announces Index Changes to Five BMO ETFs TORONTO, Aug. 8, 2017 /CNW/ - Read More BMO Asset Management Inc. today announced pending changes to the underlying indices and names of the following ETFs (collectively, the "Equal Weight BMO ETFs"):

Effective on or about September 15, 2017, the Equal Weight BMO ETFs will start tracking new indices as set out in the table below:

As a result of the index changes, the names of the Equal Weight BMO ETFs will also be changed effective on or about September 15, 2017, as set out in the table below:

The changes to the indices align with the current investment objectives and strategies of the Equal Weight BMO ETFs and the Equal Weight BMO ETFs will seek to provide investors with the same exposure to the asset class they are currently exposed. The frequency of rebalancing for the Equal Weight BMO ETFs remains the same.

An amendment to the offering documents of the Equal Weight BMO ETFs with the securities regulatory authorities.

Solactive AG will be the new index provider for the Equal Weight BMO ETFs and is currently the index provider for 8 other BMO ETFs. Since its creation in 2007, Solactive AG has become one of the key players in the indexing space. Solactive AG currently calculates indices for 350 clients in Europe, North America and Asia with approximately USD$100 billion invested in products linked to its indices.

Latin America

Launches

    • iShares cross-listed the below ETFs in Mexico:

 INDUSTRY EVENTS

ETF Australia 2017, October 25-26, Sydney, Australia
FRA presents an expert-led event designed to provide ETF veterans and newcomers with the evolving landscape of exchange-traded products. Hear the latest on the future of smart beta, the impact of robo-advisors and the expanding institutional market.

Bloomberg Invest ETF London, 5 October 2017, London, UK  

Through a sharp combination of expert panels and one-on-one interviews with the industry’s biggest players and top analysts, Bloomberg Invest ETF London will tackle head-on the biggest challenges and opportunities inherent in this booming market.

Wealth Breakfast Briefing, 3 October 2017, London, UK

 This Breakfast Briefing will focus on whether a strategy that seeks to generate income in this fashion can play a meaningful part in an investor’s portfolio, reduce overall risk, and be worth the effort.

 

  

Smart Beta Strategies Summit, 26 October 2017, Boston, US
The premier "buyer's only" all-in-one, 1-day due diligence solution for factor-based strategies event. The event is for financial advisors and institutional investors only.

SEC-NYU Dialogue on Securities Market Regulation, SEC and NYU's Saloman Center for the Study of Financial Institutions, New York
Explore: i) how ETPs affect the efficiency and quality of financial markets; ii) the potential implications for investors who hold ETPs; and iii) where the ETP market is headed.

Disrupt | Advice, 12 September 2017 to 13 September 2017
New York, US

Discount Code ($150 off current rates): ETFGI
This new, two-day event will focus on the myriad forces that are disrupting the world of financial advice, from digital platforms and tools, pricing pressures, regulatory pressures, innovations in practice management, demographic changes, as well as new asset classes and investment vehicles that are attracting attention.

DVFA ETF Forum, 12 September 2017, Frankfurt, Germany

Will the ETF market keep on growing rapidly? If so, why?

LATEST ETFGI RESEARCH

Content available to subscribers only. If you are interested in subscribing to any of ETFGI’s research subscriptions or consulting services, please contact deborah.fuhr@etfgi.com.

 

 

ETFGI Global ETF and ETP Industry Insights
Our latest monthly summary of the most recent trends in the global ETF and ETP industry, detailing asset growth, flows, trading volumes, providers, index providers and exchanges.

ETFGI Global ETF and ETP Smart Beta Insights
Our latest monthly summary of the global smart beta ETF and ETP industry, including asset growth, flows, products and data split by exposures, factors, providers, index providers and locations.

ETFGI Active ETF and ETP Insights
Our latest monthly summary of the active ETF and ETP industry, including asset growth, flows, including data split by exposures, providers, index providers, location and top products.

ETFGI Institutional Users of ETFs and ETPs, 2015 Review
This report looks at global investors in ETFS/ETPs listed around the world in 2015. Our analysis found 4,147 institutional investors in 57 countries and 7,211 mutual funds in 52 countries reported owning at least one ETF or ETP in 2015.

Subscribe to our research

 

 

 

Visit our website to find out more about who we are and the services we offer.

ETFGI WEEKLY NEWSLETTER

August 14, 2017

             

 

Welcome to the August 14th, issue of the ETFGI Newsletter covering: People and Industry news in the Global ETF industry/ ecosystem and upcoming Events.

 

Please send your press releases on people and industry news or any relevant comments to info@etfgi.com. If you have any colleagues who you think could benefit from receiving their own digital edition of the ETFGI Newsletter, please forward this email to them so they can register for their own copy. Click here

 

 

FEATURED NEWS

Global ETFs/ETPs Industry Leads Global Hedge Fund Industry By $1 Trillion For The First Time | Seeking Alpha Read More

FCA Report: Active Funds Are Still 'Playing Catch Up' With ETFs, Claim Industry Experts | Seeking Alpha Read More

ETF Industry Hopes CBI Paper Will 'Put ETF Misconceptions To Bed' | Seeking Alpha Read More

 

 

Videos

 ETFs | Masterclass | asset.tv Watch Here

 

PEOPLE NEWS

United States

 

Congratulate Lance Wordelmann, AIF for starting a new position as Managing Director at Pacer ETFs

Previously he was Chief Operating Officer - Head of Business Development at Metric Advisors. Linkedin

Congratulate Eric Weil for starting a new position as Head of Data Governance - Cross-platforms data projects - Data management at MSCI Inc.   Previously he was Head of Index Production at MSCI Inc. Linkedin

 

Congratulate Chris Wright, CFP® for starting a new position as Senior Internal Sales Consultant at Vanguard

Previously he was Financial Planner at Vanguard. Linkedin

 

Europe

Congratulate Nik Bienkowski for starting a new position as Founder, Co-CEO at HANetf.  Previously Co-CEO at WisdomTree Europe Ltd. Linkedin

Congratulate Ian 'Hector' McNeil for starting a new position as Co CEO at HANetf.  Previously Co-CEO and Founder at Boost ETP, A WisdomTree Company. Linkedin

Congratulate Jordan Harris on starting a new position as Institutional Sales Associate at Fidelity. Previously he was International, Co Founder at Encounter Contemporary. Linkedin

Congratulate Daniel Ung, CFA, CAIA, FRM for starting a new position as SPDR Senior ETF Strategist at SPDR Exchange Traded Funds (ETFs).  Previously he was Director of Research & Product Design at S&P Dow Jones Indices. Linkedin

 

 

Latin America

 

Congratulate Jose Romero Paba for starting a new position as Vice President at BlackRock. 

Previously Vice President Sales Trading at INTL FCStone Inc. Linkedin

Asia Pacific

 

Congratulate Chris Jones for starting a new position as Program Director Future Advice Model at Commonwealth Bank.  Previously Financial Planning Manager at Commonwealth Bank. Linkedin

Congratulate Ajay Nambiar for starting a new position as Associate - Global Risk at Nomura

Previously Assistant Manager - Collaterals at National Stock Exchange of India Limited. Linkedin

INDUSTRY NEWS

 During the week of August 7th there were 15 new ETFs/ETPs listed and 12 new cross listings globally.

United States

 Filings

  • VanEck filed for the Van Eck Bitcoin Strategy ETF
    • VanEck Vectors® Bitcoin Strategy ETF is an actively managed ETF.
    • The Fund seeks to achieve its investment objective by investing, under normal circumstances, in U.S. exchange-traded bitcoin-linked derivative instruments (“Bitcoin Instruments”) and pooled investment vehicles and exchange-traded products that provide exposure to bitcoin (together with Bitcoin Instruments, “Bitcoin Investments”).
    • The Fund is an actively managed exchange-traded fund (“ETF”) and should not be confused with one that is designed to track the performance of a specified index.
    • The ETF will invest in bitcoin instruments via a Cayman Islands subsidiary (It will comprise no more than 25% of the total portfolio). The remainder of the portfolio will be invested in fixed-income vehicles.
    • No disclosure of fees or tickers.
  • Inspire Investing filed for the Inspire 100 ETF
    • The ETF will have an expense ratio of 35 BPs
      • The ETF will track the Inspire 100 Index.
      • The index provider selects domestic large capitalization equity securities using the index provider’s Inspire Impact Score®, a proprietary selection methodology that is designed to assign a score to a particular security based on the security’s alignment with biblical values and the positive impact that company has on the world through various environmental, social and governance criterion.
      • The methodology removes from the investment universe the securities of any company that has any degree of participation in activities that do not align with biblical values, which are: abortion, gambling, alcohol, tobacco, pornography, LGBT lifestyle among others.
  • Legg Mason filed for the Western Asset Core Plus Opportunities ETF
    • The ETF will have an expense ratio of 45 BPs.
    • The actively managed ETF seeks to maximize total return, consistent with prudent investment management and liquidity needs, by investing to maintain the average duration specified in the prospectus.
    • Although the fund may invest in securities of any maturity, the fund will normally maintain a dollar-weighted average effective duration within 35% of the average duration of the U.S. bond market as a whole.
  • Eaton Vance filed for the Eaton Vance Diversified Credit NextShares:
    • The ETFMF will have fees of 90 BPs.
    • The Fund invests in securities and other instruments to establish investment exposures to credit markets around the world.
    • The Fund currently expects to invest at least 50% of its net assets in securities or other instruments issued by issuers located in the United States. The Fund will invest at least 25% of its net assets in a combination of high yield debt securities and senior loans.  

Launches

  • iShares launched the iShares Russell 1000 Pure US Revenue ETF (AMCA)
    • The ETF tracks the Russell 1000 Pure Domestic Exposure Index, consisting of those companies within the Russell 1000 Index that source at least 90% of their total revenue from the US.
    • AMCA has a total expense ratio (TER) of 0.15%.
    • Link to the news’ source
  • First Trust launched the First Trust Dow 30 Equal Weight ETF (EDOW)
    • The ETF will track the Dow Jones Industrial Average® Equal Weight Index (the “DJIA Equal Weight Index”).
    • The DJIA Equal Weight Index is an equal-weight version of the Dow Jones Industrial Average (“DJIA”).
    • The DJIA is a price-weighted index, comprised of 30 well-known, mega-cap companies. In contrast, the DJIA Equal Weight Index gives the same weight to each of the 30 constituents, allowing all companies to contribute equally, regardless of their price, which we believe may significantly reduce stock specific risk relative to price weighting.
    • The fund comes with an expense ratio of 0.50% and lists on the NYSE Arca exchange.
    • Link to the news’ source

Closures

·        

Horizons ETFs Management (US) LLC announces the closure of Horizons US Managed Risk ETF (USMR)

    • Horizons announced that they will be terminating the Horizons US Managed Risk ETF on September 8, 2017.
    • No disclosure of the reasons behind the ETF closure.
    • Link to the news’ source

 

 

 

 

 

 

 

 

Industry Events

 

E*TRADE Bolsters Commission-Free ETF Lineup with 21 New Additions | Business Wire Read More 

Customers can build customized, diversified portfolios made entirely of commission-free ETFs. E*TRADE Financial Corporation (NASDAQ: ETFC) today announced a significant expansion of its commission-free exchange-traded fund (ETF) lineup:

“They provide seamless access to strategies and sectors once reserved only for professionals. With the recent additions to our Commission-Free ETF Platform, comprehensive diversification is now more easily and cheaply attainable than ever before.”

With these additions, E*TRADE now offers a total of 149 non-proprietary, commission-free ETFs—one of the largest offerings in the industry.

New additions include ETFs from ACSI Funds, ArrowShares, ETF Securities, Janus Henderson, J.P. Morgan Asset Management, Legg Mason, and OppenheimerFunds.

E*TRADE customers can further diversify their portfolio with ETF offerings in domestic, international, fixed income, and specialty equities without paying commissions.

“While mirroring broad indexes is an important and tried and true use for ETFs, today you can also do so much more with these vehicles,” said Rich Messina, SVP of Investment Product at E*TRADE Financial. “They provide seamless access to strategies and sectors once reserved only for professionals. With the recent additions to our Commission-Free ETF Platform, comprehensive diversification is now more easily and cheaply attainable than ever before.”

Commission-free ETFs added to the E*TRADE platform are listed below.

  • Vanguard planned changes for Three Bond Funds and ETFs
    • Vanguard will change the benchmarks of three government bond index ETFs and ETFs to pure Treasury Indexes.
    • The funds will be renamed to reflect the new benchmarks, as detailed in the table below.
    • The move from government to U.S. Treasury index funds results in a series that will complement existing actively managed counterparts.
    • Link to the news’ source

ETF name

New ETF name

Current Benchmark

New name Benchmark

Vanguard Short-Term Government Bond Index Fund

Vanguard Short-Term Treasury Index Fund

Bloomberg Barclays U.S. 1-3 Year Government Float Adjusted Index

Bloomberg Barclays US Treasury Bond 1-3 Year Term Float Adjusted Index

Vanguard Intermediate-Term Government Bond Index Fund

Vanguard Intermediate-Term Treasury Index Fund

 

Bloomberg Barclays U.S. 3-10 Year Government Float Adjusted Index

Bloomberg Barclays US Treasury Bond 3-10 Year Term Float Adjusted Index

Vanguard Long-Term Government Bond Index Fund

Vanguard Long-Term Treasury Index Fund

 

Bloomberg Barclays U.S. Long Government Float Adjusted Index

Bloomberg Barclays US Long Treasury Float Adjusted Index

  • ROBO, The First Robotics & Automation ETF, Hits $1 Billion in Assets Under Management
    • The ROBO Global Robotics & Automation Index ETF ( ROBO ) recently surpassed $1 billion in assets under management (AUM), achieving that key benchmark less than four years after launching.
    • The ETF tracks the ROBO Global Robotics & Automation Index, which is the brainchild of a team deeply entrenched in the robotics industry who created the innovative methodology. The Index and subsequent ETF offer investors access to the entire value chain of robotics, automation and artificial intelligence. The ROBO Global Robotics & Automation Index is comprised of 83 global companies from 14 countries in North America, Europe, Asia and the Middle East and offers almost no overlap with traditional equity indices.
    • ROBO crossed the $1 billion AUM mark on August 8th.
    • Link to the news’ source
  • WisdomTree announced it will add China A-shares to two ETFs that exclude state-owned companies
    • The WisdomTree Emerging Markets ex-State-Owned Enterprises Fund (XSOE) and the WisdomTree China ex-State-Owned Enterprises Fund (CXSE) exCluce state-owned enterprises in their holdings
    • The change was effective on August 11.
    • According to the press release the A-share exposure will be capped at a 25% weight for XSOE and at 5% for CXSE.
    • Each ETF has expense ratios of 32 BPs.
    • Link to the news’ source
  •  iShares reduced fees on 11 ETFs:
    • 8 are fixed income ETFs and three are ESG based products.
    • Almost all the funds have around $1B in AUM, with the exception of ESGU which has nearly $5.4mm in AUM.
    • Below is the list:

ETF name

Ticker

Old Fees  in %

New Fees in %

iShares 0-5 Year Investment Grade Corporate Bond ETF

SLQD

0.08

0.06

iShares 0-5 Year TIPS Bond ETF

STIP

0.10

0.06

iShares Core 5-10 Year USD Bond ETF 

IMTB

0.08

0.06

iShares Core 1-5 Year USD Bond ETF 

ISTB

0.08

0.06

iShares Core 10+ Year USD Bond ETF 

ILTB

0.08

0.06

iShares Core Total USD Bond Market ETF 

IUSB

0.08

0.06

iShares Fallen Angels USD Bond ETF 

FALN

0.35

0.25

iShares Core International Aggregate Bond ETF 

IAGG

0.11

0.09

iShares MSCI EAFE ESG Optimized ETF 

ESGD

0.40

0.20

iShares MSCI USA ESG Optimized ETF

ESGU

0.28

0.15

iShares MSCI EM ESG Optimized ETF

ESGE

0.45

0.25

 

Link to the news’ source

 

Inaugural VictoryShares Volatility Weighted ETFs Achieve Three-Year Track Record and Earn 5-Star Overall Morningstar Ratings™ | Business Wire Read More . Victory Capital today announced that the first three of its VictoryShares volatility weighted ETFs have achieved their three-year track records and earned 5-Star Overall Morningstar Ratings™ in their respective categories as of July 31, 2017. The ETFs, which track the firm’s proprietary CEMP volatility weighted indexes, use a rules-based approach to seek to outperform traditional market cap weighted indexing strategies

 

 

National Philanthropic Trust Launches New Impact Investment Options for Donor-Advised Funds | Business Wire Read More  . National Philanthropic Trust (NPT) announced today the addition of four new impact investments to its donor-advised fund investment menu. The investments, all iShares ETFs, will offer donors investment options that have both social and financial returns.

NPT adding four new impact ETF investments to its donor-advised fund investment menu for increased impact

 “These new investments will offer our donors another way to increase their charitable impact,” said Eileen Heisman, President and CEO of National Philanthropic Trust. “There is a lot of interest in and research on impact investments right now. We want to honor our donors’ desire to create a double bottom line by investing their donor-advised fund assets to generate a social and financial return.”

 

Horizons ETFs Management (US) LLC. Announces ETF Closure | Business Wire Read More. Horizons ETFs Management (US) LLC. announced today that they will be terminating the Horizons US Managed Risk ETF (the "ETF") effective at the close of business on September 8, 2017 (the "Termination Date"). Details of the ETF are as follows.

September 8, 2017, is expected to be the last date that Authorized Participants may create and redeem units in USMR. At the request of the manager, the ETF is expected to be de-listed from the New York Stock Exchange at the close of business on or about September 8, 2017, with all units still held by investors being subject to a mandatory redemption as of the Termination Date.

Any remaining unitholders of the ETF as of the Termination Date will receive the net proceeds from the liquidation of the assets, less all liabilities and all expenses incurred in connection with the dissolution of the ETF, on a pro-rata basis.

 

The AdvisorShares New Tech and Media ETF (Ticker: FNG) Lists Options on CBOE Read More (PRNewswire) -- AdvisorShares, a leading sponsor of actively managed exchange-traded funds (ETFs), announced today that the AdvisorShares New Tech and Media ETF (Ticker: FNG) has met listing requirements of the Chicago Board Options Exchange® (CBOE®) and that FNG options are now listed for trading on the CBOE. Susquehanna Securities, an affiliate of Susquehanna International Group, LLP, will act as specialist.

VIX Options and Futures Set New Daily Volume Records Read More  (PRNewswire) -- CBOE Holdings, Inc. (BATS: CBOE | NASDAQ: CBOE) said today that trading volume in options and futures on the CBOE Volatility Index® (VIX®) each reached new all-time highs on Thursday, August 10.   

In VIX options at CBOE, a reported 2,562,477 contracts traded on Thursday, surpassing the previous single-day record of 2,382,752 contracts on February 3, 2014.  Year-to-date through the end of July, average daily volume in VIX options was 687,181 contracts, 11 percent ahead of the same period a year ago.  

Europe

 

iShares’ grip on European ETF market loosens | Ignites Europe Read More

China funds shine for UK investors in 2017 19 per cent average return in the first half of the year| Financial Times Read More

EBA publishes a Discussion Paper on its approach to FinTech  | European Banking Authority Read More

 

Canada

 Launches

  • FT Portfolios to merge First Trust AlphaDEX Canadian Dividend ETF Into First Trust Canadian Capital Strength ETF
    • FT Portfolios Canada, will merge the First Trust AlphaDEX Canadian Dividend ETF (FDY) and First Trust Canadian Capital Strenght ETF (FST), is to merge FDY into FST.
    • The Proposal should provide holders of units in FDY with several benefits, including the following: Broad market exposure, greater liquidity, and tax losses.
    • Link to the news' source
  • WisdomTree Canada Adds Non-Hedged Unit Class to Europe Hedged Equity Index ETF
    • WisdomTree Asset Management Canada, Inc. ("WisdomTree Canada"), today announced that non-hedged units of the WisdomTree Europe Hedged Equity Index ETF ("EHE") will commence trading on the Toronto Stock Exchange ("TSX") on August 10, 2017 under the ticker symbol EHE.B.
    • EHE seeks to track the price and yield performance of the WisdomTree Europe CAD-Hedged Equity Index, which is designed to provide exposure to dividend paying European equities while hedging exposure to fluctuations between the Euro and the Canadian dollar. The non-hedged units, in contrast, will not be hedged back to the Canadian dollar.
    • Link to the news' source

BMO Asset Management Inc. Announces Index Changes to Five BMO ETFs TORONTO, Aug. 8, 2017 /CNW/ - Read More BMO Asset Management Inc. today announced pending changes to the underlying indices and names of the following ETFs (collectively, the "Equal Weight BMO ETFs"):

Effective on or about September 15, 2017, the Equal Weight BMO ETFs will start tracking new indices as set out in the table below:

   

As a result of the index changes, the names of the Equal Weight BMO ETFs will also be changed effective on or about September 15, 2017, as set out in the table below:

The changes to the indices align with the current investment objectives and strategies of the Equal Weight BMO ETFs and the Equal Weight BMO ETFs will seek to provide investors with the same exposure to the asset class they are currently exposed. The frequency of rebalancing for the Equal Weight BMO ETFs remains the same.

An amendment to the offering documents of the Equal Weight BMO ETFs with the securities regulatory authorities.

Solactive AG will be the new index provider for the Equal Weight BMO ETFs and is currently the index provider for 8 other BMO ETFs. Since its creation in 2007, Solactive AG has become one of the key players in the indexing space. Solactive AG currently calculates indices for 350 clients in Europe, North America and Asia with approximately USD$100 billion invested in products linked to its indices.

Latin America

Launches

    • iShares cross-listed the below ETFs in Mexico:

INDUSTRY EVENTS

ETF Australia 2017, October 25-26, Sydney, Australia
FRA presents an expert-led event designed to provide ETF veterans and newcomers with the evolving landscape of exchange-traded products. Hear the latest on the future of smart beta, the impact of robo-advisors and the expanding institutional market.

Bloomberg Invest ETF London, 5 October 2017, London, UK  

Through a sharp combination of expert panels and one-on-one interviews with the industry’s biggest players and top analysts, Bloomberg Invest ETF London will tackle head-on the biggest challenges and opportunities inherent in this booming market.

Wealth Breakfast Briefing, 3 October 2017, London, UK

 This Breakfast Briefing will focus on whether a strategy that seeks to generate income in this fashion can play a meaningful part in an investor’s portfolio, reduce overall risk, and be worth the effort.

 

  

Smart Beta Strategies Summit, 26 October 2017, Boston, US
The premier "buyer's only" all-in-one, 1-day due diligence solution for factor-based strategies event. The event is for financial advisors and institutional investors only.

SEC-NYU Dialogue on Securities Market Regulation, SEC and NYU's Saloman Center for the Study of Financial Institutions, New York
Explore: i) how ETPs affect the efficiency and quality of financial markets; ii) the potential implications for investors who hold ETPs; and iii) where the ETP market is headed.

Disrupt | Advice, 12 September 2017 to 13 September 2017
New York, US

Discount Code ($150 off current rates): ETFGI
This new, two-day event will focus on the myriad forces that are disrupting the world of financial advice, from digital platforms and tools, pricing pressures, regulatory pressures, innovations in practice management, demographic changes, as well as new asset classes and investment vehicles that are attracting attention.

DVFA ETF Forum, 12 September 2017, Frankfurt, Germany

Will the ETF market keep on growing rapidly? If so, why?

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Disclosure: I/we have no positions in any stocks mentioned, and no plans to initiate any positions within the next 72 hours.