Investors keep pouring money into US equity ETFs
Investors kept faith in US equities in January, despite the Trump rally losing steam, according to Morningstar ETF flows data.
Investors kept faith in US equities in January, despite the Trump rally losing steam, according to Morningstar ETF flows data.
Small-caps, a buying-and-holding approach, and unrestricted use of equities are some of the fund strategies to watch in Japan, according to Morningstar investment research analyst Lena Tsymbaluk.
Most commentators believe Japan’s domestic environment remains encouraging in terms of the outlook for 2017, says Lena Tsymbaluk, investment research analyst at Morningstar.
The evolution of the EM bond fund asset class has seen recent launches emphasise either flexibility, blended strategies for instance, or specific areas of the market, such as short duration funds.
The November sell-off in emerging markets debt was more severe for the local currency part of the market, so it is no surprise that hard currency debt funds were among the top performers through November 2016.
Value Partners has poached the chief executive of Prudential’s Asian investment arm, Eastspring Investments. Standard Life Investment has named a head of investments, with Nordea Asset Management replacing its outgoing chief executive.
As the market reacts to the UK’s shock decision to leave the EU, active managers are underperforming their passive peers when it comes to UK equities.
Morningstar has expanded its qualitative analyst rating system to include 300 exchange traded funds, 100 of which are domiciled in Europe.
The average net expense ratios of European-domiciled funds have come down across the board since 2013, according to a study by Morningstar.
One year after the surprise yuan devaluation and subsequent market crash, $4.5bn has flowed out of funds focused on China equities, according to data from Morningstar.
In the first half of 2016, investors in Europe have poured in $5.7bn (€5.1bn) into smart beta funds as market capitalisation index trackers saw outflows over the period, according to Morningstar data analysed by ETF provider WisdomTree Europe. Brexit could be one of the reasons for the switch.
With global growth slowing and developed-market government bonds at a record low, fixed income managers are focusing on opportunities in spread sectors.