Global exchange-traded fund - HSBC ETFS PLC HSBC FTSE EPRA/NAREIT DEVELOPED ETF

UK

HSBC FTSE EP rises 1.3% on high volatility 21 May, 2018

NEWS BITES - ETF

HSBC ETFS PLC HSBC FTSE EPRA/NAREIT DEVELOPED ETF (L:HPRO), the 76th largest Exchange Traded Fund by market cap in the United Kingdom, traded between an intraday low of GBX1,684.50 and a high of GBX1,696.50. The price range has expanded in the last two days (from GBX6.25 two days ago to GBX12.0 today) which, accompanied by a price rise, is a bullish signal. The average daily volatility of 0.6% places the ETF in the 1st quartile in the market meaning it is highly volatile. Today its volatility (highest price minus lowest price/lowest price) of 0.7% was 1.2 times the average daily volatility of 0.6%, up from 0.1% on Friday and 0.4% on Thursday. A rise in the price on high volatility is a bullish signal., ending a six-day streak of losses. The ETF price has increased GBX21.25 (or 1.3%) from its last trading session of May 18, 2018 to close at GBX1,694.50. Compared with the Morgan Stanley Capital International United Kingdom Index [MSCI UNITED KINGDOM] which rose 124.3 points (1.0%) in the day, the relative price increase was 0.2%. The volume was 0.8 times the average daily trading of 8,157 units.

Price Change %1 Month3 Month6 Month1 Year
HPRO7.36.5-3.6-2.1
MSCI UNITED KINGDOM7.19.38.1

THE PAST QUARTER

HSBC FTSE EP jumps 7% in past quarter

HSBC ETFS PLC HSBC FTSE EPRA/NAREIT DEVELOPED ETF (L:HPRO), has jumped GBX103.75 (or 6.5%) in the past quarter to close at GBX1,694.50. Compared with the Morgan Stanley Capital International United Kingdom Index which rose 1,038.7 points (or 9.3%) in the past quarter, this represented a relative price change of -2.8%.

SECTION 1

HSBC FTSE EP BULLISH SIGNALS

1.1 Technicals:

+ The Moving Average Convergence Divergence (MACD) indicator of 12-day Exponential Moving Average (EMA) of 1,681.73 minus the 26-day EMA of 1,657.24 is positive 24.49 suggesting a bullish signal. Both EMA prices are rising, another bullish signal.

+ The ETF's relative price strength percentile is rising at 19 for 6 months, 87 for 3 months and 94 for 1 month.

+ The present value of GBP1,000 (PV1000) invested five years ago in HSBC FTSE EP is GBP1,121, including a capital gain of GBP120 and dividend reinvested of 60 GBP.

+ 5 years Multiplier in GBP = 1.121x

+ Compound Annual Growth Rate (CAGR) in GBP = 2.3%

Present Value of USD1,000 invested 5 years ago:

+ The present value of USD1,000 (PV1000) invested five years ago in HSBC FTSE EP is $US990, including a capital loss of $US10 and dividend reinvested of 53c.

+ 5 years ago GBP 1 equalled USD 1.52

+ 5 years Multiplier in USD = 0.99x

+ Compound Annual Growth Rate (CAGR) in USD = -0.2%

1.2 High Performance Indicators:

DescriptionValueRank In Market
Price/MAP501.04In Top 5%
Price Change %1.3In Top Quartile

SECTION 2

HSBC FTSE EP BEARISH SIGNALS

Technicals:

+ The price decreased 0.8% in the last week.

+ Compared with the Morgan Stanley Capital International World Index [MSCI World] which fell 0.2% for the week, this represented a relative price decrease of 2.8% for the week.

+ In the last three months the ETF has hit a new 52-week low once.

SECTION 3

PRICE VOLUME DYNAMICS

3.1 Technicals:

+ HSBC FTSE EP is at a discount of 8.2% to its 12-month high of GBX1,845.26 on June 15, 2017. It is also at a premium of 9.8% to the 12-month low of GBX1,543.75 on March 26.

+ The present value of GBP1,000 (PV1000) invested one year ago in HSBC FTSE EP is GBP979, for a capital loss of GBP21.

A comparison with Morgan Stanley Capital International World Index [MSCI World] and Morgan Stanley Capital International United Kingdom Index [MSCI UNITED KINGDOM] is shown below:

PV10001-week1-month1-year
HPRO.L9921,073979
MSCI World9971,0211,133
MSCI UNITED KINGDOM1,0201,0501,093

3.2 The Best 3 weeks in the past quarter [Relative Price Change or RPC]

Mon-FriChange %MSCI UNITED KINGDOM Change %RPC %Vol Ind [1 is avg]
Apr 23-273.71.91.90.4
Apr 30-May 042.60.91.80.3
Mar 05-091.72.3-0.60.6

3.3 The Worst 3 weeks in the past quarter [Relative Price Change or RPC]

Mon-FriChange %MSCI UNITED KINGDOM Change %RPC %Vol Ind [1 is avg]
Mar 19-23-3.5-3.3-0.20.6
May 14-18-2.40.8-3.10.1
Apr 09-13-1.61.2-2.80.5

3.4 Trailing 3 months

TurnoverUS$5.3 million
Volume243,737
Volume Index (1 is avg)0.5

3.5 Trailing Price Change %

3-Year price change for HPRO was 14.4%. Compared with the Morgan Stanley Capital International World Index [MSCI World] which rose 18.1% in the 3 years, the relative price change was -3.8%.

Price Change %QuarterYear3 Years
HPRO6.5-2.114.4
MSCI World0.713.318.1

3.6 MCap - Historical Perspective

In the past 3 years Market Capitalization has increased by GBP1.8 billion from GBX9.2 billion to GBX11 billion. Based on a dynamic start date of 3 years ago, there has been only 1 decline in MCap over the last 3 years.

Close PriceMCap (GBP B)MCap (US$ M)
LastGBX1,673.2511149.2
1 Year agoGBX1,727.2511.4-
2 Years agoGBX1,572.010.4149.5
3 Years agoGBX1,479.259.2146.1

3.7 Year-on-Year Comparison (Trailing year - ended 30 Apr)

In the past 5 years, HPRO has jumped 13.7% from 1,457 to 1,656.75, an average annual compound rise of 2.6%.

201820172016201520142013
Close1,656.751,739.751,538.251,501.751,2811,457
% Price Change-4.813.12.417.2-12.1-21.1
Avg Daily Volume8,63748,97231,91312,8104,2533,989
VWP1,727.311,777.81,447.31,502.811,284.611,505.95
Turnover Period3 yrs 15 d6 mo11 mo2 yrs 3 mo1 yr 55 d1 yr 28 d
Price Range1,543.75 - 1,845.261,510.5 - 1,8861,327 - 1,629.431,250.04 - 1,635.191,193 - 1,5391,190 - 1,988

SECTION 4

RANKING

4.1 Rank in Europe Region out of 2,133 ETFs

Its 6-month relative strength (or price percentile rank) in USD is 28.

DescriptionValueRankQuartile
MCap (US$)150.2M598Second
Net Assets (US$)153.1M595Second
Rel Strength 6 Mo (US$)281526Third

May 21, 2018: GBP 1 equals USD 1.343

4.2 Rank in the Total United Kingdom ETF Market [out of 557 ETFs]

DescriptionValueRank
Rel Strength 6 Mon (GBP)42323
PV1000-1Year (GBP)979270

SECTION 5

PROFILE

5.1 Description

HSBC FTSE EPRA/NAREIT DEVELOPED UCITS ETF is an open-end, UCITS compliant, Exchange Traded Fund incorporated in Ireland. The aim is to replicate the performance of the FTSE EPRA/NAREIT Developed Index whilst minimising the tracking error. The Index is a market-capitalisation weighted index designed to measure the performance of largest real estate companies.

5.2 SNAPSHOT

HSBC ETFS PLC HSBC FTSE EPRA/NAREIT DEVELOPED ETF (L:HPRO)

ISIN: IE00B5L01S80

Inception DateJune 22, 2011
Expense Ratio0.4% of average net assets
CategoryReal Estate-Equity
Asset ClassEquity ETF

5.3 ETF Summary

LastGBX1,673.25
Volume12
Volume Index (1 is avg)0
Market CapGBP110.4 million [US$149.2 million]
Day's Range1,673.25 - 1,675.50
52-Week Range1,543.75 - 1,845.26
Units Outstanding6,600,000
Relative Strength (3 mo)82

5.4 Management Fees

+ The management fee is 0.4% of total assets

SECTION 6

TOP HOLDINGS & PORTFOLIO ALLOCATION

6.1 Top Holdings (January 29, 2018)

HoldingsWeight (%)
Simon Property Group Inc3.8
Public Storage2.1
Prologis Inc2
AvalonBay Communities Inc1.9
Welltower Inc1.8
Unibail Rodamco SE1.7
Equity Residential1.7
Mitsubishi Estate Co Ltd1.6
Ventas Inc1.6
Mitsui Fudosan Co Ltd1.5

6.2 Sector Breakdown (January 29, 2018)

Sector%
Consumer Cyclical0.4
Healthcare0.2

HPROP.L

Source: www.BuySellSignals.com