BNP Paribas Easy is expanding its existing offering by launching a total of sixteen new exchange-traded-funds (ETFs) on Xetra and Börse Frankfurt, one of Deutsche Börse’s main exchanges, according to a Deutsche Börse statement.
ETF trading has been on the rise in both the US and Europe, with H2 2016 reiterating this trend at a time when other institutional exchanges are suffering from low volumes. BNP Paribas Easy has opted to launch sixteen new exchange-listed equity index funds, which are already available on both Xetra and Börse Frankfurt.
The availability of the new ETFs are important as they help enable investors to participate in the performance of select listed companies that are domiciled in either Europe or the US. In particular, these companies were specifically chosen for their low volatility, high quality, momentum, and market value.
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In addition, a total of ten ETFs will be offered that track regional indices from the MSCI index family. BNP Paribas Easy has abstained from any illicit companies, including those involved in the production of chemical and biological weapons. Finally, the remaining ETF represents a selection of companies, 400 in total, which focuse on environmental and corporate governance.
The offering is being marketed as a ‘sustainable’ ETF, which will take shape in the BNP Paribas Easy MSCI KLD 400 Social ETF. The fund is made up of 400 US companies that have a high ESG rating, all of which focus on the environment and corporate governance.
The new tranche of products offered in Deutsche Börse’s XTF segment are just a small sample of the 1,148 total ETFs at investors’ disposal. Deutsche Börse Group recently made headlines after it released its monthly order book turnover across all asset classes for August 2016, having continued a MoM downtrend en route to its lowest volumes year to date.
Despite an episodic spike in its trading volumes during June 2016 due to Brexit-induced volatility, a downtrend has continued seemingly unabated since March 2016 across Deutsche Börse’s turnover. The latest figures came in at just $104.4 billion (€93.3 billion) across all its cash markets in August 2016, corresponding to a fall of -7.4% MoM from $112.8 billion (€100.8 billion) in July 2016.