EconomyFinancePolicy

Major Asset Managers Alter Fund Benchmarks to Maintain French Bond Positions

Leading asset management firms are reportedly adjusting their fund benchmarks to circumvent mandatory sales of French sovereign debt. The strategic moves come as credit rating changes threaten to push France below strict investment thresholds. Industry sources indicate these changes allow continued exposure to French bonds despite downgrade pressures.

Fund Giants Adjust Investment Parameters

Global asset management leaders BlackRock and State Street have reportedly modified benchmark indexes for certain European bond funds, according to sources familiar with the matter. The changes appear designed to prevent automatic divestment of French government debt following recent credit rating adjustments that pushed France below double-A thresholds.

FinancePolicy

Regulators Face Test With Proposed 5x Leveraged ETFs Amid Government Shutdown

Volatility Shares has filed for regulatory approval of 27 leveraged ETFs, including the first-ever 5x leveraged single-stock and crypto funds. The SEC’s ability to review these high-risk products is complicated by the ongoing government shutdown, according to reports.

Unprecedented Leverage Proposed for ETF Market

The ETF market, traditionally known for relatively conservative investment vehicles tracking broad market indices, could be heading toward significantly riskier territory. According to recent filings, asset management firm Volatility Shares has submitted applications for 27 leveraged ETFs, including what would be the first-ever 5x leveraged single-stock and cryptocurrency funds.