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ETF Securities surpasses US$30 bn in assets under management

 

London, 7 September 2011

ETF Securities, pioneers in specialist exchange-traded products (ETPs), has seen its assets under management (AUM) surpass the US$30 billion (1) mark. Over the past 12 months, ETF Securities' AUM have increased by 52% as investors seek the safe-haven status of gold against a backdrop of economic uncertainty and financial market volatility. As at the end of August, ETF Securities' physically-backed precious metal ETPs accounted for 74% of AUM.

Thematic ETFs and currency ETCs have also seen strong growth recently. Together they contributed around 25% of the company's total AUM growth in the first half of 2011, up considerably from 5% in the first half of 2010.

- Compounded annual growth rate of 53% in AUM over 3 years (2)

- Most traded commodity ETPs in Europe (56% of market share) (3)

- ETFS Physical Gold most traded commodity ETP in Europe (4)

Commenting, Mark Weeks, Managing Director, ETF Securities, said: "Not only is our US$30bn AUM a milestone for the company, but it's also telling of the changing environment in the way investors are using commodities to form their portfolios. In recent years, it has become increasingly important to consider investment ideas that are different from traditional strategies and asset classes.

In less than 10 years, the global commodity ETP industry has grown to account for  over US$170bn (5)
in AUM, according to our latest commodity report.  We believe popularity for commodity ETPs will continue to be driven by investor demand for "hard assets" to hedge against economic risk and inflation as well as to gain exposure to long-term emerging market growth."

Ends --


NOTES:

(1) ETF Securities AUM stood at US$31.4bn as at the end of August 2011

(2) Source ETF Securities as at the end of August 2011

(3) Source: Bloomberg and ETF Securities  - volume data as at the end of August 2011

(4) Same as above

(5) ETF Securities - Global Commodity ETP Quarterly, Q2 2011

www.etfsecurities.com

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