BNP Paribas Issuance has entered the Polish listed products market with the launch of new structured certificates on the Warsaw Stock Exchange (GPW) on December 15, 2017. The underlying of the new issue certificates is the Eurostoxx Banks Price EUR Index.

The new BNP Paribas' series of certificates which includes 56,465 products are trading under ISIN XS1631571871 and will mature on November 24, 2020. The issue price of the certificates is PLN 1,000 (€238). The new instruments will be traded on the parallel market in the Market Maker System. The certificates sold in a public offer have been distributed by Biuro Maklerskie Banku BGŻ BNP Paribas, which ran the sale within Bank BGŻ BNP Paribas network.

The Warsaw Stock Exchange lists 940 structured products linked to different markets and asset classes including equities, stock baskets, indices, commodities and crops.

How to hedge safe haven duration risk with ultra-long short ETPs

Leveraged short exchange-traded products (ETPs) tracking ultra-long German Bunds can serve as capital efficient hedging tools for investors seeking to protect their high grade, high-duration portfolios from these risks, according to Viktor Nossek, director of research at WisdomTree in Europe.

According to Nossek, investors that have allocated to long-dated high-grade debt in Europe in the search for yield look particularly vulnerable against a backdrop of inflationary pressures building from structurally-led demand forces underpinning the eurozone recovery. 'These emerging pressures on consumer prices look stickier and longer lasting than the short-lived supply shocks resulting from volatile euro and commodity price pass-through effects,' said Nossek, adding that if now is the time to consider hedging the downside risks to eurozone long-dated fixed-income portfolios, then leveraged short ETPs tracking ultra-long fixed-income benchmarks can extract greater capital efficiency through the process of beta hedging.

Bahrain releases ETF regulatory framework

The Central Bank of Bahrain (CBB) has released directives for both offshore and locally domiciled exchange-traded funds (ETFs), in a move to enhance the Collective Investment Undertakings (CIUs) in the Kingdom of Bahrain.

The new directives will expand the categories of locally domiciled mutual funds to include ETFs as another type of CIU that may establish in Bahrain and listed by banks and other financial institutions on licenced exchanges. It will also permit the registration of listed offshore ETFs. The new directives also recognise both conventional and Sharia-compliant ETFs, to accommodate for a wider range of investors' preferences.

Desjardins rollsout EM multifactor-controlled volatility ETF

Desjardins Global Asset Management (DGAM) has launched a new ETF to complement its existing multifactor-controlled volatility suite. The Desjardins Emerging Markets Multifactor-Controlled Volatility ETF is available for trading on the Toronto Stock Exchange (TSX).

Desjardins Emerging Markets Multifactor-Controlled Volatility ETF (Ticker TSX: DFE) seeks to replicate, the performance of the Scientific Beta Emerging Markets Multifactor-Controlled Volatility Index, net of fees and expenses. Under normal market conditions, the fund will primarily invest in emerging markets securities.

Manulife Investments Launches Two New Multifactor ETFs

Manulife has launched two multifactor ETFs sub-advised by Dimensional Fund Advisors Canada ULC on the Toronto Stock Exchange. The indices that these ETFs are designed to track were developed by Dimensional, a pioneer of multifactor investing, using their time-tested multifactor approach and taking into account efficient implementation of those strategies into indices, using Dimensional's proprietary Index Memory technique. Index Memory is a trademark of Dimensional Fund Advisors LP and is registered in the US.

Manulife and Dimensional Fund Advisors Canada ULC (Dimensional Canada) have entered into an agreement which provides Manulife with exclusive access to Dimensional Canada's sub-advisory services with respect to Canadian ETFs for a period of seven years following the date of such agreement, subject to certain conditions.

AAM enters US ETFs market

Advisors Asset Management (AAM) has entered the US ETF market with the launch of two dividend ETFs. The inaugural ETFs focus on income and value, seeking to help investors meet their current cash flow and future capital appreciation goals.

The AAM S&P 500 High Dividend Value ETF (NYSE: SPDV) targets attractively valued US large cap stocks that exhibit both a high dividend yield and sustainable dividend distribution characteristics; while the AAM S&P Emerging Markets High Dividend Value ETF (NYSE: EEMD) targets 'attractively valued' emerging market stocks that exhibit both a high dividend yield and sustainable dividend distribution characteristics.

At the core of these common sense solutions is the S&P Dividend and Free Cash Flow Yield Index series, which are designed to balance current cash flow with future capital growth. To accomplish this, the underlying index series focuses on two key valuation indicators to identify sustainable dividend -paying stocks offering fundamental value: dividend yield and free cash flow yield. In addition, the new ETFs target five stocks from each Global Industry Classification Standard (GICS) sector, with the goal of providing investors a full range of sustainable dividend opportunities.