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The Paris Bourse celebrates 10 years of trackers

January 2001. All eyes on the United States, where already more than 100 such funds were traded, Lyxor, a subsidiary of Societe Generale, launched the first ETF in France. A fund that offers the same performance as the CAC 40, which is listed, and bought and sold on the stock exchange so as an action in minutes. A revolution for investors accustomed to having to wait at least a day to invest or withdraw from a conventional mutual funds. And quickly realized that the other advantage of this product: its price. The costs of managing an investment fund shares often exceed 1.5% per year. Those of a tracker on the CAC 40 are 0.25%.

Ten years later, this ETF (Exchange Traded Fund, the name International ETFs) is one of the 40 stocks most traded on the Paris Stock Exchange (the 36th in 2010). This is one of the largest equity fund French (over three billion euros in assets). And it has many competitors.Over 480 ETFs are now traded on the Paris, more than 1,000 in Europe. Investors have at their disposal to build on the ETF shares Russian, Chinese, Brazilian, but also on government bonds, corporate bonds … All indications are almost covered by one or more ETFs.

The most important (more than 6 billion euros), also managed by Lyxor, replicates the performance of the Euro Stoxx 50. In total, the outstanding European ETFs grazes 200 billion euros. Twice more than in 2008. The financial crisis has strengthened investor interest in these liquid products, so convenient when you have to invest very fast payday loans… or cut an urgent position.

A coveted market

Management companies are scrambling for a toehold so this growing market dominated by three heavyweights: BlackRock (branded iShare), Lyxor and Deutsche Bank.Credit Suisse, for example, has launched its first 45 ETFs on the Paris Bourse.

In Europe, the stock of these products is still low compared to those pension funds and mutual funds (2%). But across the Atlantic, it represents 10% of assets under management in funds. "If Europe reached the same level, ETFs could reach 525 billion there," said Nizam Hamid, head of Lyxor ETF in Europe.

And investors continue to subscribe. "Worldwide, the conventional mutual funds suffered net withdrawals of nearly $ 140 billion over the first ten months of 2010. ETFs, they have raised over $ 140 billion, "says Deborah Fuhr, global director of ETF research at BlackRock.

In the U.S., ETFs owe much of their success to investors."Over 50% of assets from individual investors," says Dan Draper, head of the ETF business at Credit Suisse. In Europe, however, are the institutional who made them successful. Individuals represent only 10% to 20% market share. But proponents of ETFs still cherish the hope of seducing them.

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The CAC 40 in early 2011 with a bang

Turn the page that was white this year 2010, as will be the focus of investors in the new year. The CAC 40 has lost more than 3% last year. Even if, as most experts point out, the first half is expected to remain difficult. In Europe, the priority is to continue to reassure investors on public debts, including Spanish, which should be the main attraction of financial markets.

In the wake of the Asian stock markets, the CAC 40 climbed 1.99% to 3880.60 points in mid-session. On the stock market in Frankfurt, the Dax gained 1.50% to 7017.98 points. The London Stock Exchange, meanwhile, closed due to holiday.Tokyo and Shanghai were also closed.

PMI Program

The manufacturing growth slowed slightly in December after reaching its fastest pace in 10 years in November, according to final results of the survey with Markit purchasing managers released Monday.The PMI manufacturing index rises to 57.2 in December against 57.9 in November, but was raised significantly compared to the first estimate for December (56.3).

Registrations of new cars has remained at a high level in France in 2010 to 2.25 million units thanks to the scrapping, which took full effect until his disappearance in late December, according to Figures released Monday by the CCFA.

United States, two indicators are on the agenda: construction spending in November, the ISM index of manufacturing activity in December to 16 hours.

In China, the PMI of non-manufacturing sector stood at 56.5 in December, winning more than three percentage points from 53.2 in November, which had represented a low of nine months, according data released Monday by the China Federation of Logistics and Purchasing.

On the foreign exchange market, the euro was down against the dollar on Monday due to uncertainties still the public finances of most vulnerable countries in the euro zone as Portugal and Spain. Around 11:00 am in Paris, the euro was trading 1.3303 dollars against 1.3381 dollars on Friday night.

Auto restart values

Values motor show the largest increases in the CAC 40, shortly after opening. Renault climbed 1.85% to 44.30 euros and Peugeot rose 3.03% to 29.27 euros.

GDF Suez: + 2.35% to 27.48 euros

GDF Suez would reflect, according to Bloomberg, to open the capital of its exploration and production industry. The group intends to finance investments and acquisitions to double its gas and oil.The IPO option would be rejected.

Lagardère: + 7.38% to 33.10 euros

Lagardere said Friday evening is in exclusive talks until January 30, 2011 with the American Hearst on the sale of its flagship news magazine world payday loans with no fax.

JC Decaux: + 4.21% to 23.99 euros

The title is submitted after the remarks, Business on BFM, its joint managing director, Jean-Charles Decaux, which said in part anticipate doubling the number of passengers in air transport by 2030 to 11 billion people."There is nothing new but it's enough to entice investors on vacation last week to catch up on the title," said an analyst.

TF1: +3.5% to 13.44 euros

TF1 is doped by a news television station confirming its position as the leading chain in France.

ArcelorMittal: + 2.04% to 28.96 euros

ArcelorMittal raised its offer on Friday the Canadian mining group Baffinland Iron Mines, matching the offer per share just relieved of Nunavut Iron Ore Acquisition. Baffinland has recommended that shareholders of ArcelorMittal accpet the offer and reject that of Nunavut.

Wendel: + 0.06% to 68.95 euros

According to the Journal du Dimanche, the IRS alleges that a financial Wendel established in 2007 granted 14 of its leaders.They were imposed in May 2007 a total of 324 million euros in shares, to interest them in their business results.

Euler Hermes: -2.38% to 69.85 euros

Euler Hermes does not increase its rates in 2011 and has been a downward pressure on certain contract renewals, as the chief executive of insurance group credit, Wilfried Verstraete, in an interview with The Tribune.

Saint-Gobain: + 3.17% to 39.72 euros

The American group Coorstek announced the finalization of the acquisition of advanced ceramics division of Saint-Gobain.The transaction, amounting to $ 245 million, was announced by Saint-Gobain end of June.

Technicolor: -1.27% to 3.51 euros

Technicolor announced Monday it had completed the sale of the professional broadcast its Grass Valley division, which supplies equipment for television and film, to Francisco Partners.

Gemalto: + 0.31% to € 31.95

Gemalto and Verifone Systems have strengthened their strategic partnership including the acquisition by VeriFone activity of payment terminals (POS) and the designation of Gemalto Gemalto as a preferred supplier of wireless modules Machine-to-Machine (M2M ) and related solutions for payment systems, VeriFone.

Axa: + 2.45% to 12.75 euros

According to the website of German newspaper Die Welt, thirteen industry groups, including Axa, have urged the European Commission to impose sanctions against Hungary, accused of anti-competitive measures.

On the currency markets, the euro started the year down 0.64% against the dollar at $ 1.33, after three consecutive sessions increase.

That 2011 will change to our finances

Here is the list of spending items that will vary in early 2011.

Social benefits

SMIC: The government has warned that there would be no boost given to the minimum wage this year. The minimum wage will be adjusted according to the mechanisms provided by the Labour Code and will rise from 8.86 euros gross per hour at 9 euros. The 2.3 million people paid the minimum wage will now receive 1,365 euros for 35 hours, or about 1073 euros net per month.

RSA: The income beneficiaries of active solidarity, which have touched in December a Christmas bonus, will see their monthly income revalued by 1.5% (inflation in 2011). Their income will double to 466.99 euros for a single person, an increase of 6.90 euros to 700.49 euros and for a single person with a child or a couple without children.

Child benefit: They will also be adjusted from 1.5% to 125.78 euros per month for two children, an increase of 1.86 euro and 286.94 euros for three children (4, 24 euros).

Health

Doctors: Consultation with GPs from 22 euros to 23 euros.

Medications: Some drugs will be less well paid by Social Security. Those who were at 35% will no longer be only 30%.

Present.In tax incentives

Scrapping and environmental bonus: The scrapping of 500 euros – whose number is estimated at 600,000 in 2010 – will disappear. The payment of bonuses is also environmentally hardened. For cars ordered in 2011 emitting between 116 and 125 g / km CO2, the environmental bonus of 100 euros will be deleted. For vehicles that emit 96 to 115 g, from 500 euros to 400 euros.For vehicles 61 to 95 grams, it falls from 1,000 euros to 800 euros. The bonus of 2000 euros LPG is removed, it is hard for hybrids.

Employment at home: After long debates in the National Assembly and Senate, the measure abolishing the 15% deduction on employer contributions offered to individuals who employ an employee at home has finally been voted under pressure from the government.

Taxes: The highest band of income tax is raised from 40% to 41%. This measure aims to fund the pension reform for taxpayers who claim more than 69,783 euros per year guaranteed approval cash advance loans.

• Pending the great tax reform planned for the second half of 2011 and could sign by the end of the solidarity tax on wealth, the ISF reduction granted for the direct or indirect investment in a particular small business will be reduced from 75% to 50% in the limit of 45,000 euros.

• Despite the amendment advocated by the UMP deputy Herve Mariton, honeymooners, as well as civil partnerships or divorce of the year does not fill more than three tax returns. They may no longer qualify for the tax cut that allowed this practice sometimes.

• The tax loopholes supporting investments in real estate also suffering with a plane of 10%.The tax credit on equipment in support of sustainable development, tax reduction for certain overseas investments or investment Scellier (rental in nine) are particularly concerned.

• The entire device support accession is also consolidated. The tax credit on mortgage interest is deleted and a zero-interest loan universal set for first-time buyers. It will be granted unconditionally resources.

• As for the tax credit for photovoltaics, it is reduced by half.

Consumption and transport

SNCF: Train tickets should have an increase of 2 to 3% with effect from 15 January. The government had also expressed support for such an increase in early December.This rate increase should allow maintenance of the railway network.

Insurance: The tariff increases will be particularly important in the insurance sector. The price will incur an increase of 2.5% to 4.5% for cars, from 3% to nearly 8% for housing and 5.3% to 8.5% for health.

Energy: Increase by 3% due to the contribution to public service electricity (CSPE), which finances the purchase of renewable energy. The social tariff for electricity, provided to the poorest households (625,000 households), should vary between 40 and 60% against 30 to 50%. Gas rates should remain stable until April.

(With AFP)

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Debts degraded markets stoic

A decision was taken Friday morning by the rating agency Moody's is violent: it has degraded the Irish debt rating five notches. That had not seen since the case of South Korea during the Asian crisis in late 1997. The Moody's decision on Ireland has not yet caused a tsunami in the markets. Strange, given that last spring the agencies were accused of feeding the panic of investors towards the countries of Europe as sick Greece.

This Friday, the thermometer of risk perceived by the markets, that is to say interest rates have just shuddered. Those 10 years on the Irish debt took only 30 points, that is to say 0.3 percentage points, in the morning. The rate at five years increased by 10 points.

Low impact

Earlier this week, warnings by Moody's on Debt Greek and Spanish, as well as Standard & Poor's in Belgium, have not had any noticeable impact. In the latter case, the spread between Belgian and German, the reference has certainly carved out a first step, before narrowing.

The investors have already declared the truce confectioners? Not at all: several factors explain the lull despite the bad news. In the case of Ireland, "the market is less severe now that Dublin is under the protection of international assistance plan," wrote in a note the Sokos Ioannis Strategist, BNP Paribas CIB overnight pay day loans. "In addition, degradation of several notches was already built into the rates for some time." The same reason applies to cases from Greece, Spain and Belgium.

The ECB intervention

The European Central Bank (ECB) has probably also markets to limit the rise in interest rates on debts of countries attacked, according to one observer. Last week, the guardian of the euro has increased its purchases amounting to 2.667 billion euros. This week it announced a capital increase to address the risk associated with holding these securities.

Investors will they stay long stoic? After Ireland, Spain is now the countries of the euro area has the best chance of seeing its debt worsened, according to analysts at BNP Paribas. "Being in a negative outlook from Moody's and Standard & Poor's, we believe that the Spanish note should be adjusted downward during the first months of 2011, or even earlier," writes Ioannis Sokos.It is not clear that these decisions again surprised investors who pay to Spain already high interest rates.

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Implementation of wage restraint in 2011

A third year of pay diet. The envelopes spent wage increases for 2011 should not exceed this year, 2.5% of payroll, said the investigation Cegos Les Echos on earnings released this Tuesday. This is less than in 2009, when companies were able to increase despite the crisis, their executives from 2.8%, and very far from 3.3% to 3.5% annual increases that prevailed these thirty years. "For a remuneration policy to be alive, the envelopes must be at least 3% of payroll, Fourmy said Michel, manager of human resources division Cegos in Les Echos free credit score. However, all businesses are in a sense of crisis. It is as if the system was frozen. "87% of HRD respondents planning to become more selective in awarding individual increases, while only 38% of firms expected general practice increases, against 48% in 2009 and 2010.

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Bernanke defended its policy in Europe

The United States spared no effort to defend their monetary policy. The chairman of the Federal Reserve (Fed), Ben Bernanke, on Friday a conference held in Frankfurt alongside the President of the European Central Bank, Jean-Claude Trichet, the director of the International Monetary Fund, Dominique Strauss Kahn, president and Brazilian Central Bank Henrique Meirelles.

The Fed chief will explain in particular the $ 600 billion of liquidity into the banking system decided in October "aims to support economic recovery, promote faster growth of employment, and reduce the risk of deflation. " "The commitment of the [Fed] to ensure price stability remains unwavering," he adds, as the text of his speech released Thursday in Washington.

Ben Bernanke wants to demonstrate, moreover, that this move widely criticized internationally, is to support the global economy. He will call and its counterparts around the world "to work together to achieve common benefits, including a solid recovery, sustainable and balanced economy."

Attacks overseas and the U.S.

The Fed policy has been accused of stopping outside the dollar to promote U creditreport.S. exports, and the United States to sow the seeds of inflation control. United States, the decision of the central bank is also debate: Republicans and economists accuse him of sowing the seeds of a return of inflation and a weakening dollar and believe it diverts the mission support the economy that normally accrues to fiscal policy, so political power.

Obama also goes to the plate

For his part, Barack Obama will attend the summit Europe and United States. The U.S. President will attempt to dispel the discomfort associated with the falling dollar and the Fed's monetary strategy. The White House has also made it clear that the issue of European debt crisis will be addressed while reaffirming its confidence in the ability of Europe "to solve the Irish crisis."

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Marguerite Berard, dircab Xavier Bertrand

Just (re) appointed to the Ministry of Labour, Xavier Bertrand has been working on the formation of his cabinet. And future ex-boss of the UMP – the transfer of power with Jean-Francois Cope should take place this weekend – was selected as Chief of Staff, Marguerite Berard, 32, who officiated until then to Elysee where she seconded Raymond Soubie, the social adviser of Nicolas Sarkozy, in charge of employment issues and welfare.

He holds a Master of Public Policy and Economics (Princeton, USA), former student from IEP-Paris and ENA – she went out Staff of the promo-Leopold Sedar Senghor in 2004, Marguerite Berard is known for his fine grasp of the issues and discretion paydayloans. She began her career at the General Inspectorate of Finance to the Ministry of Economy in 2007 and joined the presidential staff three years later.A coherent choice, which should appeal to social partners.

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Beef: Negotiating amid deadlock Slaughterhouse

The Minister of Agriculture, Bruno Le Maire, received Tuesday morning the players in the sector of the beef to try to resolve a dispute over prices between producers and processors. A meeting announced on the bottom lock, which began Sunday night by farmers, nine of the ten slaughterhouses Company Bigard (Cholet, Metz, Castres, Cuiseaux …). This family is the number one French slaughter, with 42% market share. Central claims: the revaluation of prices paid by manufacturers.The beef is currently paid to farmers between 2 and 2.40 euros per kilo for the carcass of a dairy breed (cow "reform") and around 3 euros for beef breeds.

Health Standards

"Currently between 3 euros and 3.10 euros per kilo, my meat is valued at the same price there are more than ten years while expenses have increased significantly since then and that we find between 3 and 6 times more expensive in radius, laments Michel Amiard, breeder of Red Meadows at Two-EVAILLE in Mayenne. I am forced to dip into my reserves to plug the losses. "This situation is not isolated."A quarter of the 80,000 French farmers are on the brink of the abyss and should increase 20 to 30% depending on the breeds they head out of water," says Peter Knight, president of the Federation Nationale Bovine (FNB , the branch of FNSEA to lead this movement) payday loan.

Specifically, the majority union requests an increase of 60 cents per kilo. This would allow farmers, he said, to cope with increasing costs. Increase that figure to 40% over the past ten years, under the impact of higher food and strengthening of food safety standards.

A request that the Minister of Agriculture, Bruno Le Maire, considers admissible. "I understand them, because producers of meat and especially beef in France are not paid enough," he told Europe 1 on Monday, but did not condone their methods.We must quickly come up with a better price for producers. "

The meeting with the processors will power: farmers announced on Tuesday blocked the seat of Bigard, Quimperlé to that of his rival Jean-SVA Rozé in Vitre, and that of a slaughterhouse Leclerc, still in Britain.

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Amicable divorce between EDF and Constellation

The lights electrician found a way out of the dispute with its U.S. partner Constellation. The energy champion resumed the 50% stake in their joint venture of Constellation Nuclear UniStar for 140 million dollars. French became the sole owner of the company created to develop EPR reactors in the United States. "In addition to the sites of Calvert Cliffs 3 and a potential fourth reactor at Calvert Cliffs, which are both owned by UniStar, Constellation will transfer to UniStar potential nuclear sites in Nine Mile Point and RE Ginna in upstate New York (east), "explains the release.

In return, EDF will sell 3.5 million shares of Constellation he held so far and will also relinquish his seat on the board of the American.Constellation abandons him his option on power plants, the main sticking point in negotiations between the two groups. The U.S. had in fact already indicated a willingness to sell its share in UniStar symbolic $ 1 plus $ 117 million of cost reimbursement faxless pay day loans. Constellation but wanted to keep this option sale of eleven power plants for 1.4 billion euros, citing an agreement signed in 2008. An exorbitant price, the French camp.

The bad blood for several months between the two partners. In early October, Constellation announced it no longer wished to invest in the construction of an EPR.And the situation has stalled when the U.S. has hinted that he would exercise the put option maturing in 2008.

Constellation and EDF, allies since July 2007, were still close in December 2008 with the acquisition by the French half of the U.S. nuclear activities, then housed in Unistar disbursing $ 4.5 billion at the end of a showdown with Warren Buffett. The billionaire had indeed launched a takeover bid for Constellation, EDF forcing overbid. But since then, relations between the two allies have them getting worse.

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Owners unemployed longer

Purchasing a home he would have set a shot in the ankle? in a forthcoming report, and unveiled on Thursday by the daily Les Echos, the Center for Strategic Analysis (CSA) establishes a correlation between unemployment and homeownership rates. According to the findings of Clement and Mahdi Ben Jelloul Schaff, two economists from the body attached to the prime ministry, "countries with the highest rates of home ownership are at the same time, those familiar with unemployment rates higher" .This observation is easily explained by them: the fight against unemployment through greater residential mobility of employees, ownership of an apartment or a house becomes troublesome when it comes to anchor a new search ext.

Of course, in France, where the proportion of owners is far below the European average, the property is not sufficient to explain the high unemployment rate. Economists point out however that the correlation is still visible. "If we compare individuals of the same socio-professionally in France, a homeowner takes longer to find work as a tenant, the duration of unemployment is about 30% higher, resulting in a higher proportion of unemployed among the tenants of the same socio-professional category, "says Clément Schaff cashadvance.

Obstruction of taxation

CAS does not take much to jump to conclusions. For the body, the France of owners required by the President of the Republic is not bad in itself, but this idea requires accommodations. To find a job elsewhere, the owner must indeed be consider selling his property and therefore pay transfer taxes, or rent it and in this case pay both rent for his new residence and tax on rental income that it collects.

The report examines various proposals to address this dilemma. It advocates the establishment of the deductibility of rents paid by tenants of landlords rent receipts, and relief transfer taxes.In return, local governments who receive those rights could raise a new tax so that local people are not moving only to pay mobility.

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