You may not think TikTok influencers and ETFs have much in common, but there you’d be wrong.

As the role of influencers on TikTok, Instagram etc. explodes, it’s only a matter of time before the broader ETF industry starts to figure out how to tap into the marketing potential of social media and how leveraging influencers becomes part of the core playbook for ETF marketing teams.

Historically, “marketing” within asset management consisted of producing a factsheet, a white paper and maybe a LinkedIn post, however times are changing.

As ETFs become more mainstream and go deeper down the Retail rabbit hole, TikTok, Instagram and the weird world of influencers will need to be embraced more than ever before.

Fund Launches and Updates

 

EUROPE

 

Goldman Sachs Asset Management (GSAM) has expanded its fixed income ESG range with the launch of its first UCITS ETF since October 2022. The Goldman Sachs Global Green Bond UCITS ETF (GSGR) is listed on the London Stock Exchange, the Swiss Exchange, Deutsche Boerse, and the Borsa Italiana, with a total expense ratio of 0.22%. And there I was think GSAM had forgotten all about their ETF business.

 

Fidelity International is the latest asset manager to cut the fee on its bitcoin exchange-traded product.The Fidelity Physical Bitcoin ETP (FBTC) has seen TER reduced from 0.75% to 0.35%. It comes as several crypto issuers including Invesco, WisdomTree and CoinShares all reduced the headline fee of their bitcoin ETPs after the launch of the 11 spot bitcoin ETFs in the US.

 

Valour has expanded its range of crypto ETPs with the launch of an internet computer ETN. The 1Valour Internet Computer Physical Staking (1VIC) is listed on the Deutsche Boerse with a total expense ratio (TER) of 1.90%.

 

White-label ETF issuer HANetf is set to launch Europe’s first junior miners ETF amid nuclear’s increasingly important role in the energy transition. The Sprott Junior Uranium Miners UCITS ETF (URNJ) will list on the London Stock Exchange, Deutsche Boerse and Borsa Italiana with a total expense ratio (TER) of 0.85%.

 

More from Han, as they plan to merge their blockchain equity ETF into their global metaverse ETF after the digital assets-focused vehicle failed to gain traction with investors. The firm intends to fold its $4.4m (€4.1m) ETC Group Digital Assets and Blockchain Equity Ucits ETF into its $9.3m ETC Group Global Metaverse Ucits ETF on March 14.

 

 AMERICAS

 

As most managers were in Miami last week, it was a quite week for launches with only one new launch – the multi-asset Calamos Alternative Nasdaq & Bond ETF (CANQ) which offers exposure to a fixed income portfolio, as well as an equity options strategy.

However, many firms took the opportunity to bury some bad with a bunch of closures taking place, some 25 in total. Most of them were issued by Global X, but funds from Janus Henderson, BNY Mellon, QRAFT and SoFi were also in the mix.

Morgan Stanley Investment Management has filed to adopt Vanguard’s exchange traded fund multi-share class structure, becoming the fifth in line to seek approval to do so. PGIA, the US division of Australia’s Perpetual, Dimensional Fund Advisors, F/m and Fidelity have all previously filed. All filings still remain pending approval with the SEC.

 

ASIA-PACIFIC

 

Hong Kong’s ETFs recorded a 25.5% jump in net flows to HK$57.1 billion (US$7.3 billion) last year and secured a record share of bourse trading, driven by inflows from mainland investors via the ETF Connect scheme and newly listed ETFs.

This came as stock markets in China and Hong Kong slumped by double digits in 2023 and total assets in Hong Kong-listed ETFs remained unchanged at HK$383.6 billion as a year ago, according to updated figures from the Hong Kong Exchanges & Clearing.

 

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Flows

 

Global ETPs kicked off the year with USD107.5B of inflows in January, down from December’s bumper USD170.0B, largely due to lower US equity buying, according to BlackRock iShares. However, EMEA-listed ETPs saw a pickup to USD21.5B in January vs. USD14.9B in December.

While fixed income (FI) flows increased to USD38.2B, equity flows dropped from USD145.0B to USD70.5B month-on-month, and commodity outflows continued, with a further USD4.0B out in January

Gold ETFs have lost billions in outflows in 2024, in contrast to ETFs tracking the spot price of Bitcoin. The 14 leading gold ETFs have seen outflows of $2.4 billion so far in 2024.

 

Noteworthy

 

‘This Time It’s Different’—Bitcoin suddenly braced for a massive BlackRock and Fidelity ETF supply shock price squeeze as US Bitcoin ETFs continue to hoover up more and more Bitcoin. This demand coupled with the pending Bitcoin halving could launch Bitcoin from its current $50k price to a much higher valuation.

 

“Demand is growing among UK wealth managers for index funds”. This comes from an article I read during the week, which explains the frustrations IFA’s have with UK platforms which continue to drag their feet with offering ETFs. The proposed solution is to create index fund versions of existing ETFs. Yeah, that’s a great idea. It’s like proposing to add an extra leg to your horse rather than build a car.

 

Movers and Shakers

 

ETF legend Sue Thompson is to retire after more than 20 years in the industry having recorded stints at Vanguard, BlackRock and SSGA.

 

From behind the Desk

 

The annual ETF Exchange took place in Miami last week at the iconic Fontainebleau hotel on South Beach.

If you are from Europe and you have never been before then you would have been in for a shock. Our US friends sure do know how to host an industry event.

As if Miami wasn’t fun enough, then next year it heads to Las Vegas.

Goodness knows how crazy that one will be.

 

About us

 

Blackwater is a leading global ETF Consulting, Recruiting, PR and Content Creation firm.

We are specialists in helping companies find the best strategy to enter and navigate the ETF marketplace, enhance their reputation, craft innovative and engaging targeted ETF content and source the very best of talent across the ecosystem.

If you would like to discuss any of the above then please reach out at mike@blackwatersearch.com