Deutsche Börse’s product range in its ETF and ETP segment has expanded with the addition of a new ETC issued by BNP Paribas.
The BNP Paribas RICI Enhanced Brent TR Index ETC has been tradable on Xetra and Börse Frankfurt since Tuesday with a total expense ratio of 1 per cent and benchmarked to the Rogers International Commodity Enhanced Brent Crude Oil Index.
The exchange writes that the BNP Paribas RICI Enhanced Brent TR Index ETC enables investors to participate in the performance of Brent crude oil. The reference index contains Brent crude oil futures contracts with differing maturities. The reference index is denominated in US dollars. The limited maturity of the futures contracts requires a switch prior to expiry in exchange for a futures contract with the next expiry date (rollover).
Possible losses as a result of the roll-over are minimised using a selection procedure. Only contracts expiring in June or December are bought for the index. A rollover takes place twice a year and takes five trading days.
Deutsche Börse’s product range in its ETF and ETP segment currently comprises 1,127 ETFs, 186 ETCs and 136 ETNs with an average monthly trading volume of around EUR15 billion.