HSBC has listed its first ETFs in continental Europe on NYSE Euronext in Paris.
The bank has unveiled an ETF tracking the Cac 40 on NYSE Euronext, and has cross-listed the HSBC FTSE 100 and HSBC DJ Euro Stoxx 50 ETFs, which were initially launched on the London Stock Exchange.
HSBC says it plans to launch 30 ETFs in 2010 that will be registered for sale in several European countries and will be available on additional local exchanges.
The bank says many of its funds released next year will be linked to emerging market indices, as part of its strong emerging markets focus. HSBC also plans to expand the range of ETFs it offers in Asia.
HSBC Global Asset Management global head of wholesale Farley Thomas says the bank is in a good position to increase its ETF business, leveraging on its international and emerging markets footprint.
He adds the bank will become one of the prominent ETF providers in a few years' time.
He says: "ETFs are among the fastest growing investment products in the market, fuelled by investors' demand for simple, flexible, risk-controlled and good value products."
Yet Thomas highlights ETFs represent less than two percent of the European mutual fund market by assets, compared with six percent in the US.
He says: "Supported by increasingly favourable trends including regulatory change such as the Retail Distribution Review in the UK, there is much scope for sustained growth."
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