ETFs have attracted a growing number of providers to the market, leaving investors faced with a difficult question: how to select the most efficient ETF. In theory, ETFs following the same index should all provide very similar investment returns as they are designed to closely replicate the indices that they track. In practice, however, these returns can vary significantly. Link
Lyxor Asset Management will list two ETFs on BATS Chi-X Europe’s Regulated Market on Monday 25th November 2013. BATS Chi-X Europe is the largest pan-European equities exchange by market share and notional value traded.
"The partnership with BATS Chi-X Europe reflects our continued commitment to provide European ETF investors with innovative trading solutions. The fragmentation of the European market is a challenge for ETF providers, placing significant restrictions on the liquidity of individual products. By offering a pan-European listing venue, BATS Chi-X Europe is offering us an opportunity to increase liquidity on our products and thereby increase their efficiency. This is an extremely positive development for the ETF industry."
Arnaud Llinas Link
If you thought all ETFs tracking the same benchmark index perform the same – it’s time to think again. Link
Why is one replication mode working better than another one in a particular market segment? The replication methodology requires assessment in a risk/reward framework. Link
What would happen if after dedicating so much time and money to selecting alpha, investors decided to focus their efforts on beta? To date, the search for outperformance remains one of investors’ primary concerns. Yet, alpha generally only accounts for a small part of performance: beta, on the other hand, represents up to 90% of an actively-managed portfolio’s return, which should encourage investors to consider new market indexing methods. Link
Fund selection is an important issue for investors. This topic has spawned abundant academic literature. Link
Lyxor’s ETFs undergo a series of quality control checks which ensure that the funds exceed current regulatory standards. In this expert opinion Lyxor Asset Management’s head of risk control, compliance and internal audit outlines the key elements of Lyxor ETFs quality promise.
Lyxor ETFs, access all markets with performance, liquidity and transparency
Standing among the most experienced ETF providers, Lyxor ranks 3rd in Europe with close to USD 38.6 Bn of ETF assets under management*, and 2nd in terms of ETF liquidity. With 250 ETFs on 12 regulated exchanges across the world, Lyxor provides a highly flexible way for investors to diversify their allocations across all asset classes (equities, bonds, money markets, commodities). As a sign of our commitment to quality, Lyxor implemented an ETF Quality Charter in 2011 to ensure that every Lyxor ETF complies with the highest standards of performance and tracking efficiency, liquidity and transparency.
*AuMs as of August 30th , 2013
Based on research and innovation, Lyxor’s Indexing offering also includes a complete range of index funds tracking all major markets and a proprietary risk- weighted indexing model applied in open-ended funds and the Lyxor SmartIX indices.