iShares has expanded its commodity range with the launch of four swap-based exchange traded funds (ETFs).
Tracking S&P GSCI indices, these products offer investors exposure to sectors such as agriculture, energy, industrial metals and commodities as a whole.
The latest new additions are iShares S&P GSCI Dynamic Roll Agriculture Swap, the Dynamic Roll Energy Swap, the Industrial Metals Swap and the Dynamic Roll Commodity Swap.
iShares says the products provide access to commodity markets in a Ucits-compliant structure and are an alternative to purchasing individual futures or investing directly in physical commodities.
In recent years swap-based ETFs have been criticised for counterparty and collateral credit risk. iShares, however, says swap positions are diversified and there is collateralisation of up to 120% on a daily basis.
All four ETFs were listed on the London Stock Exchange today.
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