Amundi Launches New Gold ETC Securities for Investors

Amundi Physical Metals Expands with New Gold ETC Securities

Amundi Physical Metals plc has recently announced an exciting update in the investment landscape by issuing a new tranche of exchange-traded commodities (ETC) securities. The newly launched product, known as the Amundi Physical Gold ETC, is part of their existing Secured Precious Metal Linked ETC Securities Programme. This issuance presents an intriguing opportunity for investors seeking exposure to gold dynamics without the complexity of physical ownership.

Details of the New Issuance

The announcement outlines that this issuance will occur on a specified date and includes the release of final terms regarding the issuance of 28,400 ETC Securities, designated as Tranche 652. This tranche significantly increases the total amount of ETC Securities to an impressive count of 56,752,859 following the new issue. Each of these securities grants investors an initial entitlement to 0.04 fine troy ounces of gold, while the entitlement will be adapted gradually over time.

Understanding ETC Securities

Designed to track the price of gold, these ETC Securities afford investors a unique way to tap into the gold market. They do so without the hassle of having to manage the physical commodity directly. Additionally, the underlying gold assets are securely held in allocated accounts at HSBC Bank plc, making it easier for investors to engage with the gold market via a trusted custodian.

Costs and Accessibility

Amundi Physical Metals plc has established a competitive total expense ratio for managing these securities at just 0.12% per annum. This low-cost structure is structured to provide broad access for investors who can utilize various trading platforms to acquire these securities. Applications for listing the securities have already been submitted to multiple stock exchanges including Euronext Paris, Euronext Amsterdam, Deutsche Börse, Borsa Italiana, and the London Stock Exchange. This wide range of platforms ensures a higher level of accessibility and convenience for potential investors.

Investment Risks and Considerations

It is important for investors to be aware that the performance of these securities is subject to the inherent volatility of gold prices in global markets. Furthermore, the securities are secured obligations, which means they are limited recourse to only the secured gold assets and do not provide claims over additional assets from Amundi. The previsto maturity date for these securities extends far into the future, offering long-term investment potential.

The initiative is expected to generate total net proceeds around USD 3,093,132.04, enhancing the traditional avenues available to investors interested in capitalizing on shifts in gold prices.

An Ongoing Commitment to Precious Metals

This latest move by Amundi Physical Metals plc represents not simply a financial instrument but marks the company’s ongoing commitment to broaden investment opportunities linked to precious metals. As the demand for flexible and innovative gold investment products continues to rise, Amundi actively responds by offering solutions that cater to diverse investor needs.

Frequently Asked Questions

What is the Amundi Physical Gold ETC?

The Amundi Physical Gold ETC is a type of exchange-traded commodity that allows investors to gain exposure to gold without holding the physical metal.

Who manages the gold underlying the ETC Securities?

The gold backing the ETC Securities is securely held in allocated accounts by HSBC Bank plc, ensuring a reliable custodian for the assets.

What is the total expense ratio for the new ETC Securities?

The total expense ratio for managing the Amundi Physical Gold ETC Securities is set at 0.12% per annum.

When is the maturity date for these securities?

The scheduled maturity date for the new ETC Securities is May 23, 2118, marking a long-term investment option for participants.

How many ETC Securities will be available after this issuance?

Following the issuance of the new tranche, the total number of ETC Securities will amount to 56,752,859.

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