Dechert has advised longstanding client ETF Securities, through its subsidiary ETFS Commodity Securities, on the proposed listing of its new platform of short and leveraged exchange-traded
Dechert has advised longstanding client ETF Securities, through its subsidiary ETFS Commodity Securities, on the proposed listing of its new platform of short and leveraged exchange-traded commodities on the London Stock Exchange, providing short and leveraged exposure on 33 underlying commodities or indices.
The short and leveraged ETCs will complement ETF Securities’ existing 51 classic and forward ETCs that offer investors long exposure to different parts of the futures curve, as well as adding four new commodities, cocoa, lead, tin and platinum.
The new products will bring to 117 the number of ETCs providing long, short and leveraged exposure to the world’s major commodity markets, and comes as the volume of commodity assets on the ETF Securities platform has grown to more than USD3.8bn.
The Dechert team advising ETF Securities was led by financial services partner Andrew Hougie, assisted by associate Lucy Reynolds. In September 2006 Dechert advised ETF Securities on its simultaneous launch of 29 classic ETCs in the UK, which were separately listed on the Amsterdam, Frankfurt, London, Milan and Paris stock exchanges, and last September the law firm advised on the listing of 29 new forward commodity securities.
In July, Dechert helped ETF Securities list six forward oil ETCs on the London Stock Exchange, in addition to two classes created in 2005, and in April it advised on the launch and listing of a range of physically-backed precious metals ETCs in Amsterdam, Frankfurt, London and Paris.
‘We are delighted to have worked with ETF Securities on yet another first for the ETC markets,’ Hougie says. ‘By offering a full platform of ETCs, investors can now utilise them for almost any commodity investment and trading strategy. With global demand for ETCs surging, this is a truly exciting and dynamic sector on which to be advising.’