The US Securities and Exchange Commission (SEC) approved the derivatives risk management rule which is designed to provide a comprehensive approach to the regulation of funds’ use of derivatives The new rule 18f-4, permits mutual funds (other than money market funds), exchange-traded funds (“ETFs”), registered closed-end funds, and business development…
Trading
ETF managers could reduce FX hedging risk through this execution model
The growth of the global exchange traded fund business is increasing the complexity of FX hedging for asset managers, in terms of their overall international business and for specific FX-hedged products. Balancing FX overlay programmes with FX swaps, forward and spot trades to hedge risk against the trading of ETF…
Jim Ross tackles some of the ETF industry’s biggest issues
Industry veteran Jim Ross, formerly executive vice president and chairman of the Global SPDR Business at State Street Global Advisors gives his assessment of the exchange traded fund industry today. In a wide ranging discussion that captures active versus passive investing; the development of non-transparent ETFs and the importance of…
FIX EMEA Trading Conference: Standardisation of ESG key for investors
At the FIX EMEA conference this year, a better understanding of data for environmental, social and governance (ESG) investing will be a key theme, underpinned by the new disclosure reports and regulatory demands globally. In the latest ETF TV, Rebecca Healey, co-chair EMEA Regional Committee, FIX Trading Community, discusses how…
Industry reactions to March volatility
Dan Barnes and Deborah Fuhr discuss Industry associations and central banks have reported on the volatility and high trading volumes seen in March 2020, with papers published by the Investment Association, the Bank of England and International Capital Markets Association. ETF TV examines the conclusions these reports came to and…
How the Fed programme is impacting ETF markets
The acquisition of exchange-traded funds (ETFs) by the Federal Reserve began on 12th May 2020, under its Secondary Market Corporate Credit Facility (SMCCF). The SMCCF is a special purpose vehicle (SPV), partly funded by a US$75 billion investment from the US Treasury, established to support corporate bond markets and thereby…
Active ETFs will be the next level
The use of fixed income exchange-traded funds for long term investment as well as for shorter term liquidity management and portfolio transitions. Tom Stephens, head of international ETF Capital Markets at JP Morgan Asset Management, says that changes in the regulation has increased transparency, changes in market participants has increased…
Fixed income ETFs provide cost efficient execution
Jim Goldie, head of ETF Capital Markets (EMEA) at Invesco, discusses his views on the growth in the use of fixed income ETFs, how they can have tighter spreads than the index and provide cost efficient execution, with Hamish McArthur of ETF TV.
Generating alpha with ETFs
Ciarán Fitzpatrick, Managing Director, Head of ETF Servicing Europe at State Street discuss how investor use ETFs to gain alpha through index and how the ETF wrapper is used to bring innovation to investors with Dan Barnes of ETF TV and Deborah Fuhr of ETFGI and ETF TV. The ETFs…
ETF market structure and trading protocols are evolving approaches to investment
Tom Digby, Head of EMEA ETF Client Trading at Invesco discusses the difference in use of ETFs between the US and Europe for institutions and financial advisors. He observes how trading protocols are evolving, including the use of request-for-quote (RFQ) and on exchange trading, market liquidity and total cost of ownership,…