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The ETFS Asian Gold Trust, ETFS White Metals Basket Trust, ETFS Precious Metals Basket Trust, ETFS Gold Trust, ETFS Silver 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.
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New sponsor enters US Commodity ETP market - ETF Securities USA LLC
07/24/09
New offering - ETFS Silver Trust listed on NYSE ARCA: (SIVR)
Highlights of the New Offering
- Physically-backed: ETFS Silver Trust’s shares represent interest in physical
silver bullion held in a LBMA-approved secured vault
- Expense Ratio: ETFS Silver Trust introduced with an expense ratio of 0.30%
p.a. until July 24, 2010, capped at maximum of 0.45% thereafter
- Competitively Priced: ETFS Silver Trust expense ratio is one of the lowest
priced physically-backed silver product in the US ETP market
- Records: All silver bar numbers published daily to: www.etfsecurities.com
New York, July 24, 2009 - ETF Securities Ltd (ETFS), one of the world's leading providers
of Exchange Traded Product (ETPs), is independently owned and currently has
approximately USD $12 billion (as of July 24, 2009) of assets invested in over 130 of its
products globally. In 2003, Graham Tuckwell, Chairman of ETFS, developed the world's first
Gold ETP in Australia and London. ETFS launched the world's first Crude Oil ETP in 2005
and then developed a comprehensive product range of Commodity ETPs which were listed
on the London Stock Exchange in 2006. These products are not available to US Investors.
The ETFS Silver Trust
The objective of ETFS Silver Trust's shares is to reflect the performance of the price of silver
bullion, less the Trust’s operating expenses. The Trust is open ended and is designed for
investors who want a cost-effective(1) and convenient(2) way to invest in Silver as well as
diversify their silver holdings.
ETFS Silver Trust is backed by physical silver bullion held by HSBC in London, one of the
world's leading Custodians for precious metals. The Shares represent an interest in physical
silver bullion owned by the Trust. The physical silver bullion of the trust is subject to
minimal counterparty or credit risks, which contrasts with other offerings that achieve
bullion exposure through the use of derivatives.
With its first US product, ETF Securities USA LLC is pleased to waive a portion of its sponsor
fee, reducing the expense ratio of SIVR to 0.30% p.a.
until July 24, 2010, capped at maximum of 0.45% thereafter(3).
Commenting on the launch, President and CEO of ETF Securities USA LLC Graham Tuckwell
stated “The launch of ETFS Silver Trust marks an historic landmark for the ETF Securities.
We are very proud to be the first to introduce this noted European provider of Exchange
Traded Products into the US ETP market. ETFS has built a very successful business in
Europe providing market access to the world’s commodity markets, and we are extremely
excited to be able to offer this new product to US investors. We have put together an
excellent team, and we intend to build on our strengths of providing quality customer
service and research to help our investors maximize their experience when using ETF
Securities’ products.”
For more information on the new issue or ETF Securities please contact the US marketing
agent, ETFS Marketing on 212-918-4954 or visit our website: www.etfsecurities.com
The ETFS Silver Trust (Registration No. 333-156307) has filed a registration
statement (including a prospectus) with the U.S. Securities and Exchange
Commission (SEC) for the offering to which this communication relates. Before
you invest, you should read the prospectus in that registration statement and
other documents the Trust has filed with the SEC for more complete information
about the Trust and this offering. You may get these documents for free by
visiting EDGAR on the SEC Web site at www.sec.gov. Alternatively, the Trust, any
underwriter or any dealer participating in the offering will arrange to send you the
prospectus if you request it by calling collect 1-212-918-4954. The Trust’s
prospectus is also available, free of charge, at the website of ETF Securities USA
LLC here.
The ETFS Silver Trust is not an investment company registered under the
Investment Company Act of 1940 or a commodity pool for purposes of the
Commodity Exchange Act. Shares of the Trust 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 silver
bullion in a traditional allocated silver bullion account.
(2) The Shares will trade on the NYSE Arca and will provide institutional and retail investors
with indirect access to the silver bullion market.
(3) Ordinary brokerage fees do apply.
Graham Tuckwell is a registered representative of ALPS Distributors Inc.
Risks and Important Considerations
The value of the Shares relates directly to the value of the silver held by the Trust and
fluctuations in the price of silver could materially adversely affect an investment in the
Shares. Several factors may affect the price of silver, including: A change in economic
conditions, such as a recession, can adversely affect the price of silver. Silver is used in a
wide range of industrial applications, and 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 silver 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 silver, it could cause a decline in world silver prices,
negatively impacting the price of the Shares. There is a risk that part or all of the Trust's
silver could be lost, damaged or stolen.
The Trust is new and has limited operating history. Commodities and futures generally
are volatile and are not be suitable for all investors. Trusts focusing on a single
commodity generally experience greater volatility. Please refer to the prospectus for
complete information regarding all risks associated with the Trust.
Shares in the Trust are not FDIC insured, may lose value and have no bank guarantee.
Please read the prospectus carefully before investing. ALPS Distributors, Inc. is the
marketing agent for ETFS Silver Trust. Click here to review the prospectus
ETF Securities Ltd. or its affiliates is not affiliated with ALPS Distributors, Inc. Certain
marketing services may be provided for ETFS Silver Trust by ETFS Marketing LLC.
The Shares may be purchased from the Trust only in one or more blocks of 100,000 Shares
(a block of 100,000 Shares is called a Basket). The Trust will issue Shares in Baskets to
certain authorized participants on an ongoing basis as described in “Plan of Distribution.”
Baskets will be offered continuously at the net asset value (NAV) for 100,000 Shares on the
day that an order to create a Basket is accepted by the Trustee.
ETF Securities acts as sponsor in connection with a number of non-U.S. issuers.
The securities of these non-U.S. issuers have not been registered under the U.S. Securities
Act of 1933 (Securities Act) and may not be offered or sold in the U.S. or to U.S. persons
(other than distributors) unless the securities are registered under the Securities Act, or an
exemption from the registration requirements of the Securities Act is available.
Furthermore, none of these non-U.S. issuers has registered, or intends to register, as an
investment company under the United States Investment Company Act of 1940 (the
“Investment Company Act”), as amended. Accordingly, the securities of such non-U.S.
issuers may not be offered, sold, pledged, or otherwise transferred or delivered within the
United States or to, or for the account or benefit of, any US person (as defined in Regulation
S of the Securities Act) to the extent registration under the Investment Company Act were
required for any such non-U.S. Issuer.
Contacts for Press:
William C. Ferri
Intermarket Communications
(212) 754-5428
bferri@intermarket.com
Laura Stevens
ETF Securities
+44 20 7448 4351
laura.stevens@etfsecurities.com
All Other US Inquiries:
(212) 918-4954
info@etfsecurities.com
ETFS Marketing LLC
48 Wall Street, 11th Floor
New York City
NY10005
ETFS Physical Asian Gold Shares are issued by the ETFS Asian Gold Trust. ETFS Physical White Metals Basket Shares are issued by ETFS White Metals Basket Trust. ETFS Physical Precious Metals Basket Shares are issued by the ETFS Precious Metals Basket Trust. ETFS Physical Silver Shares are issued by the ETFS Silver Trust. ETFS Physical Swiss Gold Shares are issued by the ETFS Gold Trust. ETFS Physical Platinum Shares are issued by the ETFS Platinum Trust. ETFS Physical Palladium Shares are issued by the ETFS Palladium Trust.
ETPs = Exchange Traded Products
Important Risks
The value of the Shares relates directly to the value of the precious metal held by the Trusts and fluctuations in the price could materially adversely affect an investment in the Shares. Several factors may affect the price of precious metals, including:
A change in economic conditions, such as a recession, can adversely affect the price of the precious metal held by the Trusts. Some metals are used in a wide range of industrial applications, and 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 the precious metal held by the Trusts or producing companies, it could cause a decline in world precious metal prices, adversely affecting the price of the Shares.
Also, should the speculative community take a negative view towards the precious metal held by the Trusts, it could cause a decline in prices, negatively impacting the price of the Shares.
There is a risk that part or all of the Trusts' physical precious metal could be lost, damaged or stolen. Failure by the Custodian or Sub-Custodian to exercise due care in the safekeeping of the precious metal held by the Trusts could result in a loss to the Trusts. Since there is no limit on the amount of platinum and palladium that the Trust may acquire, the Trust, as it grows, may have an impact on the supply and demand of platinum and palladium.
The Trusts have limited operating history.
Commodities generally are volatile and are not suitable for all investors. Trusts focusing on a single commodity generally experience greater volatility.
This material must be accompanied or preceded by a prospectus. Please read the prospectus carefully before investing. Click here to review the prospectus.
Shares in the Trusts are not FDIC insured and may lose value and have no bank guarantee.
Investors buy and sell shares on a secondary market (i.e., not directly from Trusts). Only market makers or "authorized participants" may trade directly with the Trusts, typically in blocks of 50k to 100k shares.
Carefully consider each Trusts' investment objectives, risk factors, and fees and expenses before investing.
An investment in the trust does not constitute a direct investment in the underlying metal.
ALPS Distributors, Inc. is separate and unaffiliated to Dorsey Wright and Associates. ALPS Distributors, Inc. is the marketing agent for ETFS Silver Trust, ETFS Gold Trust, ETFS Platinum Trust, ETFS Palladium Trust, ETFS Precious Metals Basket Trust, ETFS White Metals Basket Trust and ETFS Asian Gold Trust.
For further discussion of the risks associated with an investment in the Trusts please read the prospectus.
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(09/14/11)
ETF Securities USA LLC (ETFS) today announced that the
total assets under management (AUM) of its U.S.-listed products is now $4.7 billion, which
represents 15% of the firm's new total of roughly $31 billion in AUM worldwide as at the end of
August 2011.
(08/11/11)
ETF Securities USA LLC (ETFS) announced today that on July 29, 2011, its physically-backed platinum ETP (PPLT) was the world's largest in terms of AUM, which stood at $802m. This represented roughly 450k ounces of platinum stored in secure vaults located in London, U.K. and Zurich, Switzerland.
(07/21/11)
ETF Securities has offered U.S. physically-backed precious metal exchange traded products (ETPs) since July 2009. In two years, the firm has grown its U.S. assets under management (AUM) to $4.2 billion as of July 19, 2011.
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