Boost ETP has listed Italy’s first 3x short and leverage copper exchange-traded commodities (ETCs) and the first short and leverage palladium ETCs on the Borsa Italiana.
The new ETPs are:
Boost Copper 3x Leverage Daily ETP (3HCL)
Boost Copper 3x Short Daily ETP (3HCS)
Boost Palladium 1x Short Daily ETP (1PAS)
Boost Palladium 2x Leverage Daily ETP (2PAL)
This brings Boost ETP’s product range to a total of 72 listings on the London Stock Exchange, Borsa Italiana and Xetra.
Underpinned by worries of a supply shortage stemming from sanctions against Russia and a prolonged miners’ strike in South Africa, palladium has been one of the best performing commodities this year. Since 1 January 2014, palladium has risen by 23 per cent, outperforming copper (which has fallen by five per cent), gold (which has risen by 10 per cent) and WTI crude oil (which has risen by eight per cent). This month (to 17 July 2014), palladium is up by five per cent, while Boost Palladium 2x Leverage Daily ETP (2PAL) is up by 10 per cent.
Copper’s volatile performance this year was marked by the initial slowdown worries in China, underscored by a disappointing PMI reading during Q1 2014 that drove copper to fall by 11 per cent (from 1 Jan to 31 Mar 2014). However, with more upbeat producer sentiment indicators coming through since, copper recovered by 6 per cent in Q2. Since then, copper’s strong gains in the first few days of July have all been eroded by more downbeat sentiment on risk assets geared to China and commodities. Since its July peak on 4 July 2014, copper has fallen 1.8 per cent (to 17 July 2014), helping Boost Copper 3x Short Daily ETPs to rise by 5.3 per cent over the same period.
Hector McNeil, co-chief executive of Boost ETP, a WisdomTree Company, says: “With Boost ETPs’ market share recently growing to 23 per cent of Borsa Italiana’s ETC market, we are proud to be bringing another first to the Italian market with short and leverage ETPs providing access to 3x S&L copper and S&L palladium. Copper, often referred to as ‘Doctor Copper’, is seen as the bellwether for the global economic climate. Palladium is currently a very important precious metal, being widely used in catalytic converters to reduce emissions and thus helping to slow down global warming. Fortunes for both metals have been mixed this year and S&L ETPs are important tools in helping investors make returns in both rising and falling markets. With these new ETPs and more growth to come, Boost is committed to investor demand and bringing unique products to the Italian market.”