China Post Global has listed two long-standing commodity ETFs on the London Stock Exchange, focusing on gold mining and diversified commodities respectively.The newly listed ETFS, Market Access Rogers International Commodity Index UCITS ETF (RICI LN) and the Market Access NYSE Arca Gold BUGS Index UCITS ETF (GOLB LN), are both also listed on Germany’s Deutsche Börse and Switzerland’s SIX.
China Post Global has now listed all of its ETFs on London Stock Exchange too since it acquired the Market Access range of ETFs from Royal Bank of Scotland in 2016. The GBP listing in London provides an additional execution venue, further increasing accessibility and transparency for UK investors.
“We are very pleased to be listing our flagship commodity ETFs on London Stock Exchange, in response to strong demand from UK investors for commodity and gold exposure,” comments Danny Dolan, managing director of China Post Global.
“Interest in gold and commodities has increased sharply since the Covid-19 pandemic began. Investors are seeking a safe haven in gold, and an inflation hedge in broad commodity indices after huge quantitative easing measures. Both ETFs offer differentiated exposure, and over 13 years’ live track record each.”
The Market Access Rogers International Commodity Index (RICI) ETF is the longest-established commodity ETF in Europe, and tracks a globally-diversified commodity index created by legendary commodity investor Jim Rogers. The RICI Index has outperformed other well-known commodity indices the Bloomberg Commodity Index (BCOM), S&P GSCI Index and Thomson Reuters/CoreCommodity CRB Commodity Index over a 10-year period to 13 April 2020.
The Market Access NYSE Arca Gold BUGS Index UCITS ETF is Europe’s longest-established gold mining ETF, and tracks the NYSE Arca Gold BUGS Index. The Gold BUGS index aims to provide significant exposure to near-term movements in gold prices, by only including gold mining companies listed in the US which do not hedge their gold production beyond 18 months. During bull market periods for gold, it has been able to provide leveraged exposure to the gold price. In 2019 the Gold BUGS index rose 47.3 per cent, compared to the spot gold price which rose 17.9 per cent.
“We are delighted to welcome China Post Global’s two long-standing commodity ETFs to London Stock Exchange today. There are a wide range of products available on our markets to meet evolving investor appetite, with the most traded ETFs ranging from UK and global benchmarks, to fixed income and gold. London Stock Exchange is a leading ETF listing and trading venue and will continue to work with market participants to provide choice and diversification for investors,” says Ivan Gilmore, head of exchange traded products and global product development at thr London Stock Exchange.
The Market Access Rogers International Commodity Index UCITS ETF and the Market Access NYSE Arca Gold BUGS Index UCITS ETF are registered in the UK, Austria, Germany, Italy, Netherlands, Luxembourg and Switzerland.