LONDON – Amundi Physical Metals plc (GLDA) has announced the issuance of a new tranche of ETC Securities under its Secured Precious Metal Linked ETC Securities Programme. This issuance, Tranche 644, consists of 196,000 ETC Securities of Amundi Physical Gold ETC, bringing the aggregate number of ETC Securities in the series to 53,467,459. Each ETC Security has an initial metal entitlement of 0.03968904 fine troy ounces as of the subscription trade date.
The ETC Securities, linked to the price of gold, are designed to offer investors exposure to the metal without the necessity of taking physical delivery. The newly issued tranche is scheduled for release on Wednesday, with a long-term scheduled maturity date set for May 23, 2118.
The Issuer, Amundi Physical Metals plc, has confirmed that the ETC Securities have been admitted to trading on various regulated markets, including Euronext (EPA:) Paris, Euronext Amsterdam, Deutsche Börse, Borsa Italiana, and the London Stock Exchange (LON:). Additionally, they are admitted to the International Quotation System of the Mexican Stock Exchange under private placement exemptions.
Investors are informed that the total expense ratio for the ETC Securities stands at 0.12% per annum, which is deducted from the metal entitlement. The nominal amount is set at USD 5.085, which represents 10% of the issue price per ETC Security as at the series issue date, with a specified interest amount of USD 0.051.
This issuance comes with a clear warning that the ETC Securities are limited recourse obligations secured by the underlying gold. In the event of insolvency, the ETC Securities would rank equally among themselves but only against the secured property, not against the other assets of the Issuer.
The announcement clarifies that these ETC Securities do not make the investor the owner of the gold held by the custodian. The redemption of the ETC Securities will be settled in cash, reflecting the value of the gold entitlement associated with each security.
The information provided is based on a press release statement from Amundi Physical Metals plc.
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