FRANCE – Euronext, the joint exchange of Amsterdam, Brussels and Paris, is launching another 15 exchange traded funds (ETF), or trackers, in the autumn. They are sold on a market segment dedicated to ETFs on the Euronext bourses.
Marianne Demarchi, head of research and development for cash products and global co-ordinator at Euronext, developed the market place for trackers on the joint exchange, NextTrack, which was launched in January.
Institutional investors dominate trading on the exchange’s existing 13 trackers but retail trading is showing signs of increasing, says Demarchi.
The available ETFs are based on indexes managed by STOXX, Dow Jones, Bloomberg and the Paris technology index CAC40. MSCI European sector index trackers will be available in September and ETFs following FTSE’s indexes will be added on the range of funds.
The average daily trading volume in May on NextTrack was e50.8m up from around e35m in April, says Demarchi. The joint exchanges also control 60% of market capitalisation (e1.66bn) of total European tracker trading, which equals 40% of tracker funds in the market.
The largest tracker on Euronext is Euro Stoxx 50 LDRS fund, which holds around e600m of assets, and the most traded share is Master Share CAC40, with an average 483,000 shares traded daily.