Nornickel’s Global Palladium Fund has introduced pound sterling share classes for its four physically backed low-cost metal ETCs on London Stock Exchange.
The new share classes provide GBP access to gold, silver, palladium, and platinum.
The ETCs, which are also available to trade on the LSE in US dollars as well as on Xetra in euros, provide exposure to gold, silver, palladium, and platinum.
They are the GPF Physical Gold ETC (GBP: TAUS LN; USD: TGLD LN; EUR: 0IIA GR), GPF Physical Silver ETC (GBP: TAGS LN; USD: TSLV LN; EUR: 0IIB GR), GPF Physical Palladium ETC (GBP: TPDS LN; USD: TPAL LN; EUR: 0IID GR), and GPF Physical Platinum ETC (GBP: TPTS LN; USD: TPLT LN; EUR: 0IIC GR).
Each ETC charges the lowest fee amongst comparable products in the European marketplace – the gold product comes with an expense ratio of 0.145%, while the other charge 0.20%.
The products debuted in January through an Ireland-registered SPV called Ridgex with London-based NTree International directing marketing and distribution efforts.
The ETCs are the first to use distributed ledger technology to record physical bar information, a process that is designed to offer an extra layer of security and proof of ownership to the issuer. The use of this blockchain-based technology is in addition to conventional record-keeping processes used by the custodian.
The ETCs are fully backed by actual holdings of their underlying metals which are held in secure vaults in London and Zurich.
In terms of environmental, social, and governance (ESG) considerations, the ETCs have been endowed with a robust sourcing process. Only metal sourced from producers and suppliers signed up to the UN’s Sustainable Development Goals and other global initiatives in sustainable development and responsible mining will be eligible for inclusion.
Alexander Stoyanov, Chief Executive Officer of GPF, said: “Our physically backed metal ETCs aim to give investors the opportunity to invest in metals that have a key role to play in the transition to a net-zero carbon economy. The LSE GBP listing means that UK professional investors can now access the products through platforms that prefer or only offer access to securities priced in sterling.”
GPF is expected to roll out two further products – the GPF Physical Copper ETC and GPF Physical Nickel ETC – later this month.