Press releases 2005
25 October 2005
NUMBER OF ETFS ON LONDON STOCK EXCHANGE SET TO DOUBLE
The London Stock Exchange today welcomed the planned listing of fourteen new Exchange Traded Funds (ETFs) from iShares. The new ETFs, which will be introduced in three tranches between the 31 October and the 21 November, will nearly double the number of ETFs on offer on the Exchange.
Martin Graham, Director of Market Services at the London Stock Exchange, said;
"With the value traded growing at more than 50 per cent per year, ETFs are beginning to outgrow their reputation as the best-kept secret in the City.
"The new products announced today represent a major expansion of the ability of ETFs to support different investment strategies, with the introduction of a specific sectoral play as well as income-orientated products. With more choice, and a fifty per cent reduction in spreads over the last year reducing trading costs, the ETF market is more attractive than ever."
ETFs were launched on the London Stock Exchange in April 2000. The total value traded in ETFs on the Exchange during 2005 to the end of September was £5,824 million, an increase of 74 per cent on the value traded during the same period in 2004. There are currently fifteen ETFs on the London Stock Exchange and two issuers; Barclays Global Investors and NASDAQ Europe.
For further information, please contact:
London Stock Exchange:
Catherine Mattison +44 (0)20 7797 1395
Esther Nass-Fetzman +44 (0)20 7668 7170
Notes to Editors
• iShares is the brand name for one of the world's largest ranges of exchange traded funds (ETFs), which is marketed and managed by Barclays Global Investors (BGI). iShares funds are available to institutional investors and private investors.
• The new ETFs are;
iShares MSCI World, iShares MSCI AC Far East ex Japan, iShares MSCI Taiwan, iShares MSCI Brazil, iShares MSCI Korea, iShares MSCI Emerging Markets, iShares MSCI EM Eastern Europe, iShares DJ Euro STOXX Growth, iShares DJ Euro STOXX Value, iShares DJ Euro STOXX Select Dividend, iShares FTSE/EPRA European Property, iShares FTSE UK Dividend Plus, iShares € Inflation-Linked Bond and iShares AEX.
ETFs are index tracking funds listed on the London Stock Exchange which provide diversification of unit but can be traded in the same way as shares. Eligible for inclusion in ISAs, attracting no stamp duty and with minimal management fees, they offer a cost-effective and simple way to track global indices.
• About the London Stock Exchange:
The London Stock Exchange is one of the world’s leading equity exchanges and an international provider of services that facilitate the raising of capital and the trading of shares and debt securities.
The London Stock Exchange is the most international equities exchange by trading in the world and Europe's largest pool of liquidity. In 2004, 80% of all European IPOs floated in London. By the end of 2004, the market capitalisation of UK and international companies on the London Stock Exchange’s markets amounted to £3.5 trillion, with £4.7 trillion of equity business transacted over the year.
The London Stock Exchange is a Recognised Investment Exchange (RIE) under the Financial Services and Markets Act 2000 and is supervised by the Financial Services Authority.