Global ETF Monitor 20170807

Americas

Market weight vs. equal weight indexing is a debate that refuses to die. But First Trust is taking sides, having filed a prospectus for an equally weighted ETF. EDOW, which will be listed in the US, will track the Dow Jones Industrial Average Equal Weight Index – the equal weight version of the popular benchmark. First Trust does not have an ETF tracking the market weighted version of the Dow.

Europe

UBS has cross-listed an interest rate hedged corporate bond ETF into London. CUIH tracks the liquid debts of big American businesses. Companies whose debts are hoovered up include Anheuser Busch, AT&T and Apple. CUIH hedges for interest rate movements by using US Treasury bond futures.

Amundi has listed its American equity smart beta ETF into Milan. STMU tracks an index built up of four subindexes, each representing one of the four major factors (momentum, volatility, value and size). The subindexes are produced by the EDHEC Risk Institute.