EUROPE - Barclays Global Investors has issued several European fixed income exchange traded funds on the iBoxx indices as part of its iShares range.
The first ETF will be listed on the Deutsche Börse and the London Stock Exchange in early 2003.
The iBoxx ETFs are designed to offer both institutional and retail investors a liquid, transparent and flexible investment tool, allowing them to diversify their portfolio through the purchase of a single security which tracks the index.
BGI claims it is one the cheapest ways to invest in bond indices in Europe.
Commenting on the launch of the ETFs, John Demaine, director of iShares, said: “This is a revolution for the European bond market.
“The iBoxx ETFs combine all the benefits of an ETF with benchmarks that represent a new market standard for fixed income investors. iBoxx is the premier provider of bond indices in Europe and its indices are a significant improvement over proprietary indices that are priced by only one broker.”
The iBoxx indices is a joint venture between ABN AMRO, Barclays Capital, BNP Paribas, Deutsche Bank, Dresdner Kleinwort Wasserstein, Morgan Stanley, UBS Warburg and Deutsche Börse. It uses a transparent, rules-based methodology with third-party quality control to ensure a focus on the most liquid bond issues.
BGI launched a range of four fixed income iShares for US investors last July, which netted inflows of E3.5bn in the first three weeks.
The complete iShares range now comprises over 100 ETFs worldwide with asset under management of E26bn.
*Nextra listed its first ETF on MSCI Euro on the Borsa Italiana this week.
The launch puts Europe ahead of the US with 118 ETFs compared to 113 in the States, according to Morgan Stanley.
Earlier this month, BGI delisted three US listed ETFs the Dow Jones US Chemicals ticker IYD, DJ US Internet ticker IYV and the S&P TSE 60 ticker IKC.
Railways Pension Trustee Company chief executive Phil Willcock has quit the scheme after only 10 months to take up a position as head of AIG UK Life.
The Financial Conduct Authority (FCA) has launched a consultation on how to enable defined contribution (DC) savers to invest in patient capital via unit-linked funds.
The Pension Protection Fund has published its final levy rules for 2019/20 following a consultation launched in September.
The Competition and Markets Authority's (CMA) final report on the investment consultant market has been celebrated as having "real teeth" to produce better outcomes for members.