European Firm Enters U.S. ETF Market
Launch of new silver trust marks the beginning of ETFS' domestic campaign.
ETF Securities, known for its comprehensive suite of exchange-traded commodity products in Europe, has thrown its hat into the U.S. ETF market. Friday's launch of ETFS Silver Trust (SIVR) marks the European firm's official foray into the United States.
The new silver trust is the first of a total of four products that the firm has registered with the SEC--its gold, platinum, and palladium trusts have yet to launch. Each of these four products will be physically backed bullion shares. (The respective precious metals are stored in a vault with an independent custodian.) This means investors won't have to worry about the potential effects of contango or backwardation in the futures markets. To give investors further comfort, ETF Securities will commission biannual independent audits of the bullion held in the trust vaults.
John Gabriel does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.