ETF Newz – Exchange Traded Fund News and Everything ETFs

Amundi, the French asset manager, is merging its Lyxor global sector ETFs with its ESG equivalent funds while reducing fees on the range. The merger will transfer €484 million in assets under management from the Luxembourg-domiciled Lyxor ETF range to the Ireland-domiciled Amundi ETFs on June 28. The decision to merge the ETFs was made after evaluating the competitiveness of the product range and consumer interest. Amundi has been shifting part of its ETF range to Ireland to take advantage of the country's favorable tax treaty with the US. The fee reduction will see Lyxor ETF investors' fees cut from 0.30% to 0.18%. The Amundi ETF range is labeled Article 8 under the...

ETF Newz Says:

The changes will affect several ETFs, with each Lyxor ETF being absorbed by a corresponding Amundi ETF in the same sector.

The Shanghai Stock Exchange (SSE) on Monday launched two option products that will be linked to an exchange-traded fund (ETF) tracking the 50 biggest stocks on the Science and Technology Innovation Board (STAR) market, in what experts said will enhance investor confidence, increase market vitality and provide more channels for investors to participate in the STAR market. According to cnr.cn, the SSE launched the two products on Monday after approval by the China Securities Regulatory Commission. This is the first new stock option variety launched amid the registration-based IPO system. The report cited Rong Ying, director of the quantity investment department of China Asset Management, as saying that the launch of the ETF options will...

ETF Newz Says:

Prior to the STAR Market 50 ETF options, China launched SSE 50 ETF Options and CSI 300 ETF Options.

First Trust Advisors L.P. (FTA) has declared the monthly distribution for the First Trust Enhanced Short Maturity ETF, which is part of the First Trust Exchange-Traded Fund IV. Distribution: Income Per Share Amount: $0.2290 Expected Ex-Dividend Date: May 31, 2023 Record Date: June 1, 2023 Payable Date: June 5, 2023 Additionally, FTA, a federally registered investment advisor, serves as the investment advisor for the fund. FTA and its affiliate, First Trust Portfolios L.P. (FTP), provide a range of investment services. They manage or supervise approximately $194 billion in assets under management as of April 30, 2023

Goldman Sachs has filed for the Goldman Sachs U.S. Tech Index Equity Premium Income ETF, which is expected to be a competitor to the JPMorgan Nasdaq Equity Premium Income ETF (JEPQ A). JEPQ, launched in May 2022, has already amassed $3.3 billion in assets. Amplify and Global X also offer popular covered call ETFs. The Global X NASDAQ 100 Covered Call ETF (QYLD A-) manages $7.5 billion, while the Amplify CWP Enhanced Dividend Income ETF (DIVO A-) manages $2.8 billion.

ETF Newz Says:

Given the ongoing market volatility, financial advisors are likely to continue seeking covered call strategies. There is room for further product development in this area, along with the need for education to help investors understand the unique features of each product.

Allianz Investment Management has launched a new series of Buffered ETFs, known as the June Buffered ETFs. These ETFs aim to help investors navigate volatile markets and strike a balance between risk and reward in equity investments. The series includes two ETFs with a 12-month outcome period: AllianzIM U.S. Large Cap Buffer10 Jun ETF (NYSE Arca: JUNT) and AllianzIM U.S. Large Cap Buffer20 Jun ETF (NYSE Arca: JUNW). The Buffered ETFs provide investors with a downside buffer of 10% or 20% against market drops while allowing them to participate in the upside potential of the SPDR S&P 500 ETF Trust, up to a specified cap. This approach offers a strategy for downside protection in...

ETF Newz Says:

The June Buffered ETFs have an expense ratio of 74 basis points and are available with six- and 12-month outcome periods. For the June series, the 12-month outcome period spans from June 1, 2023, to May 31, 2024. Each outcome period adjusts the stated cap based on prevailing market conditions, allowing investors to stay invested with a level of risk mitigation.

Rize ETF has launched the Rize Circular Economy Enablers UCITS ETF (CYCL) on the London Stock Exchange (LSE) and the Frankfurt Stock Exchange (Xetra), with plans to list on the SIX Swiss Exchange in the coming weeks. CYCL is Europe's first sustainable thematic ETF targeting publicly listed companies identified as enablers of the transition to a circular economy. The ETF focuses on Circular Economy Enablers, which are companies facilitating the shift to a circular economy, as opposed to Circular Economy Practitioners who actively implement circular economy principles, and Linear Economy "Best Practice" Facilitators optimizing traditional linear economic models. CYCL is an SFDR Article 9 Fund with an OCF of 0.45%. CYCL invests in companies within...

DWS, a global asset management company, has expanded its Paris-Aligned Benchmark (PAB) climate range by introducing an ETF that focuses on Scandinavian equities. The Xtrackers Nordic Net Zero Pathway Paris Aligned UCITS ETF is listed on the Deutsche Boerse and has a total expense ratio (TER) of 0.15%. This ETF tracks the Solactive ISS ESG Nordic Investable Universe Net Zero Pathway index, which consists of 180 companies. The selection and weighting of these companies adhere to EU PAB standards. The ETF currently has a significant weighting of 45.6% to Sweden, 33% to Denmark, 12.7% to Finland, and 8.7% to Norway. The benchmark aims to achieve an initial decarbonization target of 50% compared to its parent...

ETF Newz Says:

The Xtrackers Nordic Net Zero Pathway Paris Aligned UCITS ETF is classified as Article 8 under the Sustainable Finance Disclosure Regulation (SFDR), indicating its focus on sustainable investments.