UBS has launched the Global Gender Equality Ucits ETF as part of its suite of impact and sustainable investment products with philanthropy component launched in September 2017. The ETF will invest in the Solactive Equileap Global Gender Equality 100 Leaders index. The companies were selected based on 19 diversity criteria, including equal compensation and work-life balance, transparency and accountability, gender balance, and sustainability policies. The index includes the 30 highest rated US stocks, yet caps single issuers at 3% of the ETF's assets. The ETF is a collaboration between UBS asset and wealth management and will dedicate 5% of management fees received to philanthropic projects supporting the United Nation's Sustainable Development Goal 5 via the UBS Optimus Foundation. The ETF also contributes to Equileap, a social enterprise committed to accelerating progress towards gender equality in the workplace, using the power of investments, knowledge and donations.

Biblical ETFs get momentum

James Investment Research, a 'principles-driven investment management products' provider, has expanded its offering with the addition of its first ETF, the Biblically Responsible Investment ETF, which applies a 'multi-factor stock selection methodology to the growing world of biblically responsible investing' and tracks the eValueator Biblically Responsible Index as a benchmark. The index was created to screen stocks within the S-Network US Equity Large/Mid-Cap 1000 Index and, using eight different criteria, filter out any 'objectionable stocks from a biblical perspective'. JBRI is a passive strategy, with holdings reconstituted quarterly and then equally-weighted and rebalanced to approximately 1% positions. This ESG fund, with emphasis on "social," focuses on mid to large cap stocks and has an expense ratio of 0.65%. The ETF follows another biblical launch in November, when Impact investment firm Inspire Investing aunched the Inspire 100 ETF, a 'biblically responsible' ETF, the fourth addition to this range.

Charles Schwab's adds to commission-free range

Schwab ETF Onesource's commission-free ETF platform has added 12 new ETFs. Schwab ETF Onesource offers commission-free ETFs from 16 leading providers including Alps, Deutsche Asset Management, Direxion, ETF Securities, Global X Funds, Guggenheim Investments, IndexIQ, John Hancock Investments, JP Morgan Asset Management, OppenheimerFunds, Pimco, PowerShares, State Street Global Advisors SPDR ETFs, USCF, WisdomTree and Charles Schwab Investment Management.

The new additions come from seven of these providers, notably, Pimco has doubled the amount of ETFs it offers with the addition of three multi-factor products. The new ETFs added to the platform include: Xtrackers MSCI All China Equity and Xtrackers MSCI Germany Hedged Equity; Global X US Preferred ETF; Guggenheim BulletShares 2025 High Yield Corporate Bond and BulletShares 2027 Corporate Bond ETF; IQ Chaikin US Small Cap; Pimco Rafi Dynamic Multi-Factor Emerging Markets Equity, Dynamic Multi-Factor International Equity, and Dynamic Multi-Factor US Equity; SPDR Bloomberg Barclays Emerging Markets Local Bond and Eurostoxx Small Cap; and Wisdomtree Emerging Markets ex-State-Owned Enterprises Fund.

European ETPs continue to make ground

Assets invested in ETPs listed in Europe have reached another high after recording a 40.1% increase in 2017 on the back of US$802.38bn sales, at the end of December, according to ETFGI. Assets invested in European-listed ETFs/ETPs rose by $229.7bn in 2017, over double the previous record of $67bn set in 2016. The increase of 40.1%, from $572.6bn at the end of 2016, also represents the greatest growth in assets since 2009 when markets recovered following the 2008 financial crisis. During 2017, ETFs/ETPs listed in Europe saw record net inflows of $108.28bn; 94.4% more than net inflows for 2016, and over double the average for net inflows over the previous five years. December 2017 also marked the 38th consecutive month of net inflows into European-listed ETFs/ETPs, with $1.63bn gathered during the month. The majority of these flows can be attributed to the top 20 ETFs by net new assets, which collectively gathered $33.60bn during 2017. The iShares JP Morgan EM Local Govt Bond Ucits ETF on its own accounted for net inflows of $2.93bn.

The rise of US ETPs

Assets invested in ETFs and ETPs listed in the US increased by 34.3% during 2017 to reach a new high of $3.42tr at the end of December, according to ETFGI's December 2017 US ETF and ETP industry insights report. US-listed ETFs/ETP assets saw inflows of $874bn during 2017, over double the previous record of $419bn set in 2016. The increase of 34.3%, from $2.55tr at the end of 2016, also represents the greatest growth in assets since 2009 when markets recovered following the 2008 financial crisis. Lat year, ETFs/ETPs listed in the US saw record net inflows of $468bn, 68.0% more than net inflows for 2016, and over double the average for net inflows over the previous five years. December 2017 also marked the 23rd consecutive month of net inflows into US-listed ETFs/ETPs, with $44.3bn gathered during the month. The majority of these flows can be attributed to the top 20 ETFs by net new assets, which collectively gathered $209bn last year. The iShares Core S&P 500 ETF on its own accounted for net inflows of $30.2bn. US-listed equity ETFs/ETPs saw net inflows of $38.9bn in December, bringing net inflows for 2017 to $336bn. Fixed-income ETFs and ETPs experienced net inflows of $5.07bn in December, growing net inflows for 2017 to $111bn.