Two of the new ETC products are oil trackers backed by the Shell Group of companies and the remaining 29 products track commodity indices published by Dow Jones Indexes, the latter range of products representing the first Euro quoted listing of these ETCs in Europe.
The new ETC offering will complement Deutsche Borse’s existing segment for exchange traded funds, XTF, in which 151 index funds are currently listed.
Deutsche Borse says exchange traded commodities have many of the advantages of ETFs. They are secured, open ended zero-coupon notes which have no specified maturity date, and which can be bought and sold continuously on Xetra in the same way as any equity, providing accurate and transparent exposure to commodities through recognized benchmarks.
Commenting on the new products, Rainer Riess, managing director of Stock Market Business Development, said: with the launch of ETCs on Deutsche Borse, investors will be able to gain exposure to a broad range of Euro quoted commodities on a single electronic platform for the first time. ETCs mark an excellent addition to our ETF offering and enable investors to benefit from even more extensive diversification opportunities.
We designed our ETCs to be simple, secure, open-ended securities that would lower the many barriers that previously prevented investors from investing in commodities such as access, trading and operational risks, custody, and transaction costs, added Nik Bienkowski, head of listings at ETF Securities.
