How to Put a Price on Climate Risk
Coverage of the 2012 Risk Management Conference.
- September 5, 2012 September 13, 2019
- 01:41
Coverage of the 2012 Risk Management Conference.
It’s tough out there for exchange traded fund (ETF) providers. At a time when total ETF assets are surging to new highs, profitability is proving elusive for some. Last month, Russell Investments closed its passive ETFs after just two years in the business. The firm’s choice to throw in the towel is hardly surprising given a new report from the Financial Times. The report finds that more than a quarter of ETFs and notes listed in the U.S. haven’t attracted enough assets to be economically viable.
Coverage of the 2012 Real Estate Investment Summit
Institutional investors surveyed said they were using ETFs more than they did in the past, particularly to help with portfolio construction in a “risk-on, risk-off” trading environment. Indeed, as Europe teeters on the verge of sovereign default and the U.S. flirts with its own fiscal cliff, ETFs have become a good way to express global views at a time when single stock bets aren’t producing the alpha they used to.
Insights from the 2012 Real Estate Summit.
As the $43 billion United Nations Joint Staff Pension fund adds an ETF-based low vol strategy, it's good news for low vol and ETF providers.
Last week, I found this article in Indexuniverse.com that compares ETF fees in the UK to the actual benefits the investment brings to a portfolio especially compared to index funds. It’s an interesting breakdown of ETF fees and benefits and it shows that when it comes to tracking error ETFs have a leg up on other passive approaches.
Plan sponsors are coming to grips with the realities of a challenging global marketplace as they face severe market volatility on one side, and major global economic imbalances on the other.
The Knight debacle certainly reignited questions about the role of automated trading programs that churn through massive volumes at lightening speed. But it also shed light on one core component of the ETF space – the role of the authorized participant.
Canada’s largest home improvement company is involved in a takeover battle as U.S. giant, Lowe’s tries to buy the company for $1.8 billion.