Etikett: Japanese equities

European Equities benefit while Japanese Equities saw redemptions

European Monthly ETF Market Review - European Equities benefit while Japanese Equities saw redemptionsDeutsche Bank – Synthetic Equity & Index Strategy – Europé

European Monthly ETF Market Review – European Equities benefit while Japanese Equities saw redemptions

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Data in this report is as of 30th September 2015

European ETP Highlights

As of the end of September 2015, global ETP assets stood at $2.7 trillion with European ETP assets at $480bn (€430bn). European ETPs recorded net inflows of +€1.9bn in September (+€10.2bn in the prev. month). Equity and fixed income ETFs were the major contributors to inflows receiving +€1.5bn and +€0.7bn respectively. Commodity ETPs listed in Europe saw outflows of -€0.3bn during the same period.

Smart Beta and Cyber security product launches

During September, 12 new smart beta ETFs were launched. UBS and BlackRock listed 8 and 3 quantitative strategy equity ETFs respectively while First Trust listed a fundamental strategy equity ETF. ETF Securities has launched Europe’s first ETF to track cyber security focused companies.

Inflows into European equities while Japanese equities experiences outflows

Amid volatile equity markets in September, European ETPs recorded turnover totalled €61bn. The average monthly turnover has significantly increased from c€50bn in 2014 to c€70bn in 2015 so far. This is evident that investors are increasingly trading via ETFs particularly during periods of elevated volatility.

TAARSS says risk appetite improving, prefer US and Japanese equities

TAARSS says risk appetite improving, prefer US and Japanese equities

 

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Tactical Asset Allocation Relative Strength Signal (TAARSS) Monthly Update

For December continue to prefer US equities from domestic cyclical and defensive sectors, as well as Japanese and Indian equities.

Market review

Outside commodities, November was fairly quiet. Global equities (ACWI) and US bonds (AGG) gained 1.38% and 0.66%, respectively. While Commodities (DBC) plunged by 8.51%.

TAARSS rotation strategy monthly performance review

TAARSS strategies were mixed during November. US Market, DM Country, and FI Sector were the best TAARSS strategies last month. Quarterly allocations, which suggest a diversified mix with a preference for equities and long duration in fixed income, continue to be adequate both in the multi asset and fixed income duration rotations, respectively.

Tactical positioning for December 2014 based on TAARSS

Within equities we prefer US equities and DM Intl over EM in December. Overall we would prefer North America and Asia Pacific, staying away from Latin America, and neutral towards Europe when it comes to regions. Within the US, broad allocations seem appropriate at the time. In terms of sectors, Domestic Cyclicals (e.g., Tech and Cons. Discr.) and Defensives (e.g., Cons. Staples) continue to display support. However Global Cyclicals continue to look weak. For those looking at DM countries we recommend a selective approach with preference for Asia Pacific countries, especially Japan, and away from European ones (e.g., Italy, Spain, and Switzerland). For EM equities we see India and Thailand with the strongest demand support. In fixed income signals were discrete; we prefer Corp. IG, and Munis for December; while we see the weakness in US Treasuries as a sign of increasing risk appetite. Lastly for commodities, we see weakness across the board with the positive trend in Energy being related to speculative shorting activity most likely.