New ETF entrants keep pouring in
There is no slowing down in Q4 as firms like Fineco in Europe continue their ETF expansion and a slew of new issuers enter the US ETF market.
Fund Launches and Updates
Fineco Asset Management is continuing their European ETF market expansion with the launch 11 ETFs on the Borsa Italiana covering a range of sector ESG ETFs to sustainable fixed income products. You can see the full listing of this Italian firm here ETF Stream
The following five iShares ETFs are now listed on the London Stock Exchange: the iShares US Mortgage Backed Securities UCITS ETF, iShares France Govt Bond UCITS ETF, iShares Italy Govt Bond UCITS ETF, iShares Spain Govt Bond UCITS ETF, and the iShares MSCI Europe Energy Sector UCITS ETF. ETF World
Due to growing investor demand in the region, Tabula Investment Management has launched a SEK-Hedged share class of its Asia ex-Japan High Yield Corporate USD Bond ESG UCITS ETF.
The new SEK-Hedged share class is listed on Cboe and joins USD, GBP-Hedged and EUR-Hedged listings across multiple European exchanges. ETF Express
AXS Investments has launched a new actively managed ETF providing exposure to companies poised to be leaders in the unfolding sustainable economy.
The AXS Green Alpha ETF (NXTE US) has been listed on NYSE Arca with an expense ratio of 1.00% and is sub-advised by Green Alpha Investments, a sustainable investment specialist. ETF Strategy
Bitwise Asset Management has launched the Bitwise Web3 ETF (BWEB) providing investors with access to companies well positioned to benefit from the emergence of Web3. Cointelegraph
OneAscent Investments, an Alabama-based investment advisor has launched two new actively managed ETFs targeting firms making a positive impact on society.
The OneAscent International Equity ETF (OAIM US) and the OneAscent Emerging Markets ETF (OAEM US) which have been listed on NYSE Arca.
OAIM and OAEM have expense ratios of 1.29% and 2.12%, respectively. ETF Strategy
NightShares has unveiled its third ETF, a US large-cap equity fund providing leveraged exposure to the “Night Effect”.
The NightShares 500 1x/1.5x ETF (NSPL US) has been listed on NYSE Arca with an expense ratio of 0.67%. ETF Strategy
Noble-Impact Capital, a New York-based investment advisor, has made its ETF debut with the launch of an actively managed global equity fund that seeks positive returns in all market environments.
The Noble Absolute Return ETF (NOPE US) has been listed on NYSE Arca with an expense ratio of 0.98%. ETF Srategy
Thrivent Asset Management has made its ETF debut with a socially responsible mid and small-cap equity fund.
The Thrivent Small-Mid Cap ESG ETF (TSME US) has been listed on NYSE Arca with an expense ratio of 0.65%. ETF Strategy
Full list of U.S. launches:
Global X Japan launched the Global X Logistics REIT ETF which tracks the Solactive Logistics REIT Index. ETF World
In Canada, ETFs overall gained $1.9 billion in September, with net inflows into cash-alternative ETFs of $1.7 billion — a record for that category.
Equities funds had outflows of $436 million and fixed-income ETFs gained $2.3 billion in September.
The month was a busy one for launches, with 28 new ETFs, including 15 ESG ETFs. Investment Executive
Global investors pumped more than $35bn into ETFs in September, but the bulk went to US Treasury funds as investors sought safe haven investments.
A total of $22.1bn — more than double the total for all government bonds in August — went into Treasuries in September, according to data from BlackRock.
In contrast, riskier bond exposures saw an exodus of money, with $2.7bn being sucked out of investment grade bond ETFs, $2.4bn out of high-yield bonds and $4.1bn from emerging market debt.
Equity flows held up reasonably well, dipping a fraction to $31bn, from $31.4bn in August, but the true picture remains unclear.
Commodity ETFs endured their fifth straight month of outflows with Gold funds accounting for the bulk of selling in September, $5.1bn worth. Financial Times
While Europe tends to attract the most media attention around crypto ETPs, a recent Cerulli note in Asia cites the crypto craze among Asian investors has prompted asset managers in the region to launch crypto products despite tightening regulation.
A number of cryptocurrency and blockchain-focused funds that invest in the broader universe without directly investing in cryptocurrency have been rolled out this past year in Singapore, Hong Kong and Korea, while Australia has seen the region’s first ETFs with direct exposure to bitcoin and ether.
Singapore is also seeing strong interest among young investors, with Cerulli citing a survey from last year that found 51% of those aged 25 to 44 were more willing to invest in crypto, while only 36 per cent of those aged 45 and over showed the same interest.
Pretty sure this is a global phenomenon and not regional.
Thailand and Vietnam have also emerged as hotbeds for retail cryptocurrency investments in south-east Asia as Thailand recorded $135.9bn in crypto value transacted in the 12 months to June 2022, while Vietnam had $112.6bn. Financial Times
BlackRock has lost more than $1bn in asset management business in US Republican states upset with the company’s green investing policies. Financial Times
Managed Futures ETFs are crushing it this year as one of the few areas seeing green. Financial Times
BNY Mellon IM has plans to lead active ETF managers. PI Online
From behind the desk with Andrea Murray
Unless you were on a warm and luxurious holiday last week, it was impossible to miss all of the hullabaloo around the recent news that Tuttle Capital Management has plans to launch two new ETFs which will go long and short the stock tips of CNBC’s personality Jim Cramer.
Aptly selected tickers are LJIM and SJIM and the concept is similar to Tuttle’s inverse-ARK ETF, which is now a $343mn fund betting against Cathie Wood’s flagship investment vehicle.
Will these gimmicky new ETFs work?
You know what, they just might. Clearly these are products designed specifically for retail investors which as we all know, make up a massive portion on the ETF investor pie in the States.
And whether you can tolerate his screaming antics on TV or not, Cramer has a massive following which aligned with the media coverage already around these products — including comments from Jim Cramer himself — I am putting my money on these two gathering over $100m within the first 6 months of launch.