ETF Securities Cross-Lists Four Physically-Backed Exchange Traded Products (ETPs) In Mexico

ETF Securities (ETFS) announced it has cross-listed four of its popular physically-backed precious metal products on the Mexican Stock Exchange, the Bolsa Mexicana de Valores (BMV).
  • ETFS Physical Platinum Shares (Ticker: PPLT)
  • ETFS Physical Palladium Shares (Ticker: PALL)
  • ETFS Physical Precious Metal Basket Shares (Ticker: GLTR)
  • ETFS Physical White Metal Basket Shares (Ticker: WITE)

The four “first to market products,” all with an expense ratio of 0.60% (1), gained momentum since launch on the NYSE Arca gathering almost $2.0B in less than two years. The cross listing to the Mexican Stock Exchange, BMV is part of a global expansion initiative for ETFS and the four cross-listed products will be the first of their kind available to Mexican investors.

These new listings of commodity-related ETPs are complementary to the approximately 600 international securities and exchange traded funds (ETFs) already cross-listed and may enhance the overall offering on the international segment of the Mexican Exchange.

This Mexico cross-listing initiative is on the heels of significant demand heard from local Mexican institutional clients requesting more choice in physically-backed ETP solutions. Also, the continued geopolitical turmoil in the Middle East and Africa, global inflationary concerns, and investment merits of adding non-correlated asset classes to portfolios all bode well for this new cross listed offering of ETFS products onto the Mexican Exchange, BMV.

ETFS will continue to look strategically at cross-listing more of its products onto the BMV and exchanges globally.

Commenting for ETFS Marketing LLC, Fred Jheon Head of Product and Business Development said:

"We are delighted to expand our global footprint into Mexico and have four of our popular US products meet the demand from Mexican investors."

For more information please contact the US marketing agent, ETFS Marketing on 212-918-4954 or visit our website: www.etfsecurities.com

The precious metal ETPs have the following key features:
  • Track spot price of underlying metal less associated management fees (1)
  • Physically-backed by underlying bullion – minimal counterparty risk
  • Bullion holdings audited by specialist audit firm biannually – audit reports published on the website www.etfsecurities.com

ETFS White Metals Basket Trust, The ETFS Precious Metals Basket Trust, ETFS Palladium Trust and ETFS Platinum Trust are not investment companies registered under the Investment Company Act of 1940 or a commodity pool for purposes of the Commodity Exchange Act. Shares of the Trusts are not subject to the same regulatory requirements as mutual funds. These investments are not suitable for all investors. Please read the prospectus carefully before investing.

(1) The Sponsor expects that, for many investors, costs associated with buying and selling the Shares in the secondary market and the payment of the Trusts ongoing expenses will be lower than the costs associated with buying, selling, storing and insuring bullion in a traditional allocated bullion account. Ordinary brokerage fees do apply.

Fred Jheon is a registered representative of ALPS Distributors Inc.

Risks and Important Considerations

The value of the Shares relates directly to the value of the gold held by the Trust and fluctuations based on the price of platinum, palladium, silver and gold could materially and adversely affect an investment in the Shares. Several factors may affect the price of platinum, palladium, silver and gold including: A change in economic conditions, such as a recession, can adversely affect the price of platinum, palladium, silver and gold. An economic downturn could have a negative impact on its demand and, consequently, its price and the price of the Shares; Investors' expectations with respect to the rate of inflation; Currency exchange rates; Interest rates; Investment and trading activities of hedge funds and commodity funds; and global or regional political, economic or financial events and situations. Should there be an increase in the level of hedge activity of bullion producing companies, it could cause a decline in world prices, adversely affecting the price of the Shares. Also, should the speculative community take a negative view towards bullion, it could cause a decline in world metal prices, negatively impacting the price of the Shares. There is a risk that part or all of the Trust's metals could be lost, damaged or stolen. Failure by the Custodian or Sub-Custodian to exercise due care in the safekeeping of platinum, palladium, silver and gold held by the Trust could result in a loss to the Trust. Investments in the trust do not constitute a direct investment in the underlying platinum, palladium, silver and gold.

The Trusts are new and have limited operating history. Commodities generally are volatile and are not suitable for all investors. Trust’s focusing on a single commodity generally experience greater volatility. Since there is no limit on the amount of platinum, palladium, silver and gold that the Trusts may acquire, the Trusts, as they grow, may have an impact on the supply and demand of platinum, palladium, silver and gold. Please refer to the prospectus for complete information regarding all risks associated with the Trusts. Shares in the Trusts are not FDIC insured, may lose value and have no bank guarantee.

This material must be accompanied or preceded by a prospectus. Please read the prospectus carefully before investing. Click here to review the prospectus.

ALPS Distributors, Inc. is the marketing agent for ETFS White Metals Basket Trust, The ETFS Precious Metals Basket Trust, ETFS Palladium Trust and ETFS Platinum Trust. Certain marketing services may be provided for the ETFS Trusts.

Although Shares of the Trusts may be bought and sold on the exchange through any brokerage account, they are not individually redeemable directly from the Trusts. Investors may acquire Shares and tender them for redemption through the Trust in Basket aggregation only. Please see the prospectus for more details.

This press release contains “forward-looking statements” with respect to results of operations, plans, objectives, future performance and business. Statements preceded by, followed by or that include words such as “may”, “will”, “should”, “expect”, “plan”, “anticipate”, “believe”, “estimate”, “predict”, “potential”, or similar expressions are intended to identify some of the forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and are included, along with the statement, for purposes of complying with the safe harbor provisions of that Act. All statements (other than statements of historical fact) included in this press release that address activities, events or developments that will or may occurring the future, including such matters as changes in commodity prices and market conditions (for Gold, Silver, Platinum and Palladium and the Shares), the Trusts operations, the Sponsors plans and references to the Trusts future success and other similar matters are forward looking statements. These statements are only predictions. Actual events or results may differ materially.

ETF000367 12/31/11

Copyright Business Wire 2010

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