- 3 min
Amundi ETF launches an innovative ETF tracking the TOPIX Euro Daily Hedged strategy index
Amundi ETF has launched an innovative product designed for investors seeking to take positions on the Japanese equity market, while benefiting from daily currency hedging, on NYSE Euronext in Paris.
An unprecedented* ETF in Europe
This new ETF offers investors a solution in a context of volatile international markets and uncertainty over the euro/yen exchange rate. Based on the TOPIX Euro Daily Hedged strategy index (Total Return), it combines exposure to Japanese equities with daily euro/yen currency hedging. This ETF has a TER** of only 0.48%.
Daily currency hedging
This ETF benefits from hedging against currency risk, which is managed and adjusted daily within the TOPIX Total Return Euro Daily Hedged strategy index through the use of forward contracts expiring at the end of each current month.
This daily readjustment reduces the influence of exchange rate volatility through the optimisation of the currency hedge.
Valérie Baudson, Managing Director of Amundi ETF comments: “Following the success of our ETF launched in 2011 tracking the S&P 500 EUR Daily Hedged strategy index, we wanted to offer investors the same innovative currency hedging solution but this time on the TOPIX, the main Japanese equity market index”.
Amundi ETF’s positive momentum continued in 2012 with €1bn*** of net new assets raised in the year to-date. Its extensive range of more than 100 ETFs, including some highly innovative products, offers European investors a toolbox for their asset allocation needs.
Amundi ETF products are available on the main European stock exchanges and are distributed by dedicated sales teams at Amundi and CA Cheuvreux.
Further information about Amundi ETF can be found on the amundietf.com website.
Investment in a Fund carries a substantial degree of risk. The price and value of investments can go down as well as up. Investors may not get back the original amount invested and may lose all of their investment. For further details regarding the risks, please refer to the key investor information document (“KIID”) and the prospectus for the relevant Fund, which are available in English upon request or on amundietf.com. Past performance is not a reliable indicator of future results. Returns may increase or decrease as a result of currency fluctuations.
*At the time of the fund’s admission to trading on the NYSE Euronext in Paris
**TER: Total Expense Ratio or ongoing charges - annual, all taxes included. For Amundi ETF funds, the ongoing charges correspond to the Total Expense Ratio. The ongoing charges represent the charges taken from the fund over a year. When the fund has not closed its accounts for the first time, the ongoing charges are estimated. The TER is a measure that compares the annual total management and operating costs (all taxes included) charged to a fund against the value of that fund's assets.
***Source Deutsche Bank Industry Report – October 2012
About Amundi ETF
With over 100 ETFs* and €8bn in assets under management at 30 September 2012, Amundi ETF covers the main asset classes (equities, fixed income, EONIA, and commodities) and geographical exposures (Europe, US, emerging markets, and world). As one of the pioneers in the ETF market with its first products launched in 2001, Amundi ETF is characterised by its quality products, continuous innovation and its low cost policy and relies on a wide network of “Authorised Participants” (more than 50* market makers)
Amundi ETF is present in 7* European countries: France, Germany, Italy, Netherlands, Spain, Switzerland and United Kingdom.
Amundi ETF designates the ETF business of Amundi Investment Solutions. Amundi ETF received a Special Commendation in the “European ETF Provider of the Year” category by Funds Europe in 2011 and Amundi Group was awarded “Best Europe Equity ETF Manager 2010” and “Best Fixed Income – Cash (Money Market) ETF Manager 2011” in March 2010 and March 2011 respectively, as voted by the readers of ETF Express.
* As of 23/10/2012. The Funds described in this document may not be authorised for distribution in all countries. It is the investor’s responsibility to ensure that they are authorised to invest in a Fund.
Amundi ranks second in Europe1 and ninth worldwide among the players in asset management with €692.9 billion under management
Located at the heart of the main investment regions in some 30 countries, Amundi offers a comprehensive range of products covering all asset classes and major currencies.
Amundi has developed savings solutions to meet the needs of more than 100 million retail customers worldwide and designs innovative, high-performing products for institutional clients which are tailored specifically to their requirements and risk profile. Benefiting from the support of two powerful banking groups, Crédit Agricole and Société Générale, Amundi aims to establish itself as a leading European asset management, recognised for:
- the quality of its products, their financial performance and transparency
- its close relations with customers, partner networks and institutions
- the efficiency of its organisation, resulting from the individual and collective talents of its teams
- a commitment to integrate sustainability and socially responsible criteria into its investment policies, going beyond financial criteria alone.
About Crédit Agricole Cheuvreux (“CA Cheuvreux”)
Part of the Crédit Agricole Group, CA Cheuvreux is the leading independent European equity broker. Its historical multi-local* model positions CA Cheuvreux as a cutting-edge outperformance provider for its 1,200 institutional investor clients. CA Cheuvreux offers extensive, high value-added services in Research, Sales and Execution. With 90 analysts and economists, and unparalleled coverage of 600 stocks, CA Cheuvreux is continuously ranked in the Top 3 for European Country research and a No. 2 for Pan-European Corporate Access**. CA Cheuvreux provides extensive market access to over 100 execution platforms worldwide including all major MTFs and dark pools. Ranked No. 2 in Sales Trading Client Service**, CA Cheuvreux's execution specialists offer a wide spectrum of first-class products: DMA, Algorithmic Trading, Portfolio Trading and its own pan- European MTF, "BLINK".
*CA Cheuvreux has 12 offices worldwide: Amsterdam, Boston, Frankfurt, London, Madrid, Milan, New York, Paris, Stockholm, San Francisco, Tokyo and Zurich.
** Thomson Extel Survey 2012
Financial promotion issued by Amundi Investment Solutions (“Amundi IS”), the management company of the Funds. Amundi IS is authorised by the French Autorité des Marchés Financiers (“AMF”) under n° GP 05000025 and its registered office is at 91-93 boulevard Pasteur, 75710 Paris Cedex 15 – France - 451 230 221 RCS Paris.
The Funds are “fonds commun de placement” (collective investment schemes) authorised by the AMF.
Persons who are subject to any restrictions, such as US persons or citizens, and/or resident persons of countries where the regulations or other applicable regulations prohibit it are not permitted to access information contained herein. This material is not of a regulatory nature and does not constitute a recommendation, a solicitation, an offer, advice or an invitation to purchase or sell any Fund and should not in any case be interpreted as such.
As of 23/10/2012, the Fund described in this document is not recognised collective investment schemes for the purposes of the Financial Services and Markets Act 2000 of the United Kingdom. Accordingly, information on this Fund must not be provided to retail clients in the United Kingdom unless an exemption applies.
Investment in a Fund must only be made on the basis of the key investor information document (“KIID”) and the prospectus for the relevant Fund. Complete documentation on the Funds described in this document (e.g. KIID, prospectus, annual reports and periodic documents) is available on request from Amundi IS and on the internet site amundietf.com. The prospectus and KIID of a Fund must be provided to investors before any subscription is made.
The Funds are managed by Amundi IS. Amundi IS has delegated the financial management and the international distribution of the Funds to Amundi. CA Cheuvreux may also be involved in the international distribution of the Funds.
When making an investment in the Funds you are buying units that are listed on one or more stock exchanges. The price of the units will be determined by supply and demand. Accordingly it is expected that the unit price may differ from the net asset value of the relevant Fund.
The Funds are not capital guaranteed. The value of units is subject to market fluctuations and the value of your investment may therefore go down as well as up. It is therefore possible that investors will not get back the amount they originally invested, notably as the result of a decline in the value of the underlying index. Potential investors are invited to consult the risk profile, details of which are provided in the KIID and prospectus of the relevant Fund.
It is recommended that investors diversify their investments. If you are in any doubt as to the suitability for you of an investment in a Fund, you should consult an independent financial advisor. In any event, an investor should only invest in a Fund once the prospectus for that Fund has been carefully read and understood. Investors are reminded that the levels and bases of, and reliefs from, taxation may change. Investors should seek advice relating to the tax implications of their investments in the Funds. Returns may increase or decrease as a result of currency fluctuations.
Investment in a Fund is not suitable for all investors. The amount to be reasonably invested in a Fund will depend on an investor's personal circumstances. To determine this, investors must take into account their personal wealth, personal assets, current and future needs, as well as their risk tolerance profile, whether this favours high or low-risk investments. Investors are advised to seek advice from their usual advisors (financial, accountant, legal and/or taxation) before purchasing any shares or units.
Investors are reminded that past performance is not a guarantee or a reliable indicator for future returns. The potential return may also be reduced by the effect of commissions, fees or other charges (e.g.: taxes, brokerage commission or the other commissions taken by the financial intermediary).
This non-binding document is provided by Amundi IS for information and illustration purposes only. The aim of this document is to provide investors with the characteristics of the Funds, however, the exactness, exhaustiveness or relevance of the information provided is not guaranteed even though the information was derived from sources that are reputed to be reliable by Amundi IS. It is inevitably partial, provided based on market data stated at a particular moment and is subject to change.
In no circumstances will Amundi IS be held liable for the consequences, whether direct or indirect, whether financial or other, of any decision made on the basis of information contained in this document. This material has been provided without taking account any particular objectives, financial situations or needs. Any projections, valuations and statistical analyses provided herein are provided to assist the recipient in the evaluation of the matters described herein. Such projections, valuations and analyses may be based on subjective assessments and assumptions and may use one among alternative methodologies that produce different results; accordingly such projections, valuations and statistical analyses should not be viewed as facts and should not be relied upon as an accurate prediction of future events. There is no guarantee that any targeted performance will be achieved.
i. The TOPIX Total Return Euro Daily Hedged Index Value and the TOPIX Marks are subject to the proprietary rights owned by the Tokyo Stock Exchange, Inc. and the Tokyo Stock Exchange, Inc. owns all rights and know-how relating to the TOPIX Total Return Euro Daily Hedged Index such as calculation, publication and use of the TOPIX Total Return Euro Daily Hedged Index Value and relating to the TOPIX Total Return Euro Daily Hedged Index mark.
ii. The Tokyo Stock Exchange, Inc. shall reserve the rights to change the methods of calculation or publication, to cease the calculation or publication of the TOPIX Total Return Euro Daily Hedged Index Value or to change the TOPIX Total Return Euro Daily Hedged Index mark or cease the use thereof.
iii. The Tokyo Stock Exchange, Inc. makes no warranty or representation whatsoever, either as to the results stemmed from the use of the TOPIX Total Return Euro Daily Hedged Index Value and the TOPIX Total Return Euro Daily Hedged Index mark or as to the figure at which TOPIX Total Return Euro Daily Hedged Index Value stands on any particular day.
iv. The Tokyo Stock Exchange, Inc. gives no assurance regarding accuracy or completeness of the TOPIX Total Return Euro Daily Hedged Index Value and data contained therein. Further, the Tokyo Stock Exchange, Inc. shall not be liable for the miscalculation, incorrect publication, delayed or interrupted publication of the TOPIX Total Return Euro Daily Hedged Index Value.
v. No Licensed Product are in any way sponsored, endorsed or promoted by the Tokyo Stock Exchange, Inc.
vi. The Tokyo Stock Exchange, Inc. shall not bear any obligation to give an explanation of the Licensed Product or an advice on investments to any purchaser of the Licensed Product or to the public.
vii. The Tokyo Stock Exchange, Inc. neither selects specific stocks or groups thereof nor takes into account any needs of the issuing company or any purchaser of the Licensed Product, for calculation of the TOPIX Total Return Euro Daily Hedged Index Value.
viii. Including but not limited to the foregoing, the Tokyo Stock Exchange, Inc. shall not be responsible for any damage resulting from the issue and sale of the Licensed Product.
ix. The Licensed Product is not sponsored, endorsed, sold or promoted by Standard & Poor's Financial Services LLC (“S&P”), its affiliates or its third party licensors. Neither S&P, its affiliates nor their third party licensors make any representation or warranty, express or implied, to the owners of the Licensed Product or any member of the public regarding the advisability of investing in securities generally or in the Licensed Product particularly or the ability of TOPIX Total Return Euro Daily Hedged Index (the “Index”) to track general stock market performance. S&P’s and its third party licensor’s only relationship to Licensee is the licensing of certain trademarks, service marks and trade names of S&P and/or its third party licensors and for the providing of calculation and maintenance services related to the Index. Neither S&P, its affiliates nor their third party licensors is responsible for and has not participated in the determination of the prices and amount of the Licensed Product or the timing of the issuance or sale of the Licensed Product or in the determination or calculation of the equation by which the Licensed Product is to be converted into cash. S&P has no obligation or liability in connection with the administration, marketing or trading of the Licensed Product.
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