Among recent notable product launches is an ETF aimed at accessing China's onshore bond market, a new index that will track publicly-listed companies developing or providing cyber security technology, and a fund aiming to outperform an index composed of futures contracts on 14 heavily traded commodities.
- Van Eck Global Launches China Bond Market ETF
Aiming to provide U.S. investors access to China's onshore bond market, Van Eck Global launched the Market Vectors ChinaAMC China Bond ETF. Van Eck states the fund investments will cover all important segments of Chinese fixed income markets, including sovereigns, policy banks, and high-rated corporate bonds. The fund will attempt to replicate the price and yield performance of the ChinaBond China High Quality Bond Index, which is comprised of fixed-rate, local currency-denominated bonds issued by Chinese credit, governmental and quasi-governmental issuers. "China is currently the largest emerging markets bond market, yet to this point investors outside of mainland China have been mostly excluded from direct ownership of locally issued bonds," states Fran Rodilosso, senior investment officer for Market Vectors ETFs. "China's onshore bond market has had historically low correlation to core asset classes and has delivered attractive yields in comparison to developed bond markets in recent years."
- ISE ETF Ventures Unveils Cyber Security Index
ISE ETF Ventures newest offering, the ISE Cyber Security Index, allows investors to focus on publicly-listed companies that develop or provide cyber security technology and related services. "As cybercrime continues to grow, companies in all sectors, from financial services to consumer goods, are prioritizing cyber security as a fundamental corporate discipline," says Kris Monaco, head of ISE ETF Ventures. "The ISE Cyber Security Index provides investors with the first and only index to track the firms that provide cyber security technologies to meet this growing demand." Among the 29 companies tracked by the index are Symantec, Juniper Networks and FireEye.
- Cambria ETF Trust Debuts Cambria Global Momentum ETF
The Cambria Global Momentum ETF is the latest offering from the Cambria ETF Trust and its investment manager, Cambria Investment Management. The fund is listed on the NYSE Arca exchange, and Cambria says it consists of 17 holdings that represent the top 33% ETFs from a field of 50 funds. The fund sorts through a basket of domestic and foreign stocks, bonds, real estate, commodities and currencies, and in increased volatility, it will shift into cash and bonds.
- Invesco Offers PowerShares Global Buyback Achievers UCITS ETF
Invesco Powershares launched a new fund, the PowerShares Global Buyback Achievers UCITS ETF, which will be the first in Europe based on the Nasdaq Buyback Achiever Index. Invesco states the fund allows investors to buy back shares from companies, providing for more tax-efficiency than dividends. In May, Invesco PowerShares launched the international version of this Index as an ETF in the U.S., the PowerShares Nasdaq International Buyback Achievers Index ETF.
In other company developments, Invesco PowerShares listed a new fund, PowerShares DB Optimum Yield Diversified Commodity Strategy Portfolio on Nasdaq. The fund is benchmarked to the DBIQ Optimum Yield Diversified Commodity Index Excess Return, which is composed of futures contracts on 14 heavily traded commodities. The fund will attempt to outperform its benchmark through actively managed investments in commodity-linked futures contracts, the firm states.
- MFS Investment Management Introduces MFS Meridian Funds
MFS Investment Management is now offering the MFS Meridian Funds, which aims to provide current income and capital appreciation. The fund will focus on U.S. government securities, high-yield corporate bonds, emerging market debt, dividend-paying equities and real estate related investments, the asset manager states. The fund will be led by MFS chief investment strategist, James Swanson.
