Leverage Shares has introduced a new suite of ETPs in Europe providing physically backed fractional exposure to popular individual stocks trading on US exchanges.
Oktay Kavrak, Product Strategy at Leverage Shares.
The Stock Tracker ETPs, which are understood to be the first to offer this type of exposure, are aimed at investors seeking fractional trading in these stocks by offering a much lower entry point compared to the companies’ share prices.
The suite initially consists of nine ETPs which provide 100% physically backed exposure to Alphabet (current share price of $2,380), Amazon ($3,265), Apple ($126), Coinbase ($241), Facebook ($327), Microsoft ($251), Netflix ($502), and Shopify ($1,238).
In contrast, each Stock Tracker ETP comes with a share price of just €5 at launch. The ETPs have been listed on Euronext Paris and Euronext Amsterdam in euros and on London Stock Exchange in US dollars, pound sterling, and euros.
According to Leverage Shares, the Stock Trackers ETPs are suitable for a broad audience of institutional and retail investors as well as legacy brokers, many of whom have not been able to offer fractional trading to their clients until now.
Each ETP comes with a management fee of 0.15%.
Oktay Kavrak, Product Strategy at Leverage Shares, said: “Our entire business model is focused on democratizing access to investing. Many legacy brokers still don’t offer fractional trading so investors have to shell out north of $3000 for a single share of Amazon and pay foreign exchange fees along the way. The Stock Trackers remove yet another barrier to make widespread investing accessible across borders and demographics.”
Brieuc Louchard, Head of ETFs at Euronext, added: “The new listings from Leverage Shares demonstrate great innovation within the industry with now delta one single stock products that will extend investors’ possibilities. We are thrilled to make these products available on Euronext markets.”
The nine Stock Tracker ETPs are:
1x Alphabet Tracker ETP
1x Amazon Tracker ETP
1x Apple Tracker ETP
1x Coinbase Tracker ETP
1x Facebook Tracker ETP
1x Microsoft Tracker ETP
1x Netflix Tracker ETP
1x Shopify Tracker ETP
Leverage Shares expects to expand the suite with additional Stock Tracker ETPs in the near future.