Our Capital Markets team has spent the last five years working with traders, market makers and liquidity providers across the entire ETF trading universe to make sure they understand how WisdomTree ETFs are structured and managed. As a result, the trading community feels more comfortable trading our products in the marketplace and providing block liquidity directly to our client base via the block ETF market.
There were times in the not-too-distant past when more accessible emerging market countries had lower accessibility than they do at present—each has been moving along its own continuum. UAE equities could be at an inflection point on their path, leading to potentially greater access for foreigners and increased liquidity in the near future.
With continued positive economic growth readings in Europe at the end of last year and leading indicators signaling further expansion during 2014, sentiment among investors continues to build positive momentum.
ETFs can be used in many ways, but one of the most popular is the “core and explore” approach. Investors use ETFs to implement core positions, often with funds tracking capitalization-weighted indexes, and use tactical ETFs or active managers in the periphery of the portfolio to pursue alpha.
After a rough patch of market volatility and headline risk, our outlook for EM assets remains much more positive than it does for many opportunities in developed markets. While volatility may reappear at any time, we believe that these fluctuations may ultimately lead to opportunity for intermediate and long-term investors.