LONDON – Amundi Physical Metals plc has announced the issuance of a new tranche of exchange-traded commodities (ETC) securities, known as Amundi Physical Gold ETC, under its existing Secured Precious Metal Linked ETC Securities Programme. On Monday, the firm released the final terms for the issuance of 28,400 ETC Securities, identified as Tranche 652.
This issuance, scheduled for Monday, January 27, 2025, contributes to the aggregate number of ETC Securities of the series, bringing the total to 56,752,859.00 following the issue. Each ETC Security is initially entitled to 0.04 fine troy ounces of gold, with the entitlement adjusting over time.
The ETC Securities, which are linked to the price of gold, offer investors exposure to the metal without the need for physical delivery. They are secured by gold held by HSBC Bank plc, the custodian, in allocated accounts specifically designated for each series.
Amundi Physical Metals plc has set the total expense ratio for managing the securities at 0.12% per annum. The securities are designed to be accessible to investors through a variety of platforms, with applications for listing and admission to trading submitted to Euronext (EPA:) Paris, Euronext Amsterdam, the Deutsche Börse, the Borsa Italiana, the London Stock Exchange (LON:), and the International Quotation System of the Mexican Stock Exchange.
Investors should note that the securities are subject to the price volatility of gold and market conditions. Moreover, the securities are secured, limited recourse obligations, meaning that investors have a claim only to the secured property and not to any other assets of the issuer. The scheduled maturity date for the securities is May 23, 2118.
The total net proceeds from the issue are estimated at USD 3,093,132.04, and the ETC Securities are expected to provide an alternative means for investors to gain exposure to gold price movements.
This financial move by Amundi Physical Metals plc, based on a press release statement, is part of the company’s ongoing efforts to offer diverse investment opportunities linked to precious metals.
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