ETF Securities

Introduction to our new ETF

November 2008
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Contents
• Introducing ETF Securities
• ETF Securities: current offering
• ETF Securities: evolution of the AUM
• Introducing our new ETFs
• Indices used
• Pricing
• Contacts
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Introducing ETF Securities Limited

• ETF Securities is the innovator, pioneer and global leader of Exchange
Traded Commodities (ETCs)
• The management of ETF Securities pioneered the world’s first ETC,
Gold Bullion Securities (Australia, Europe)
• ETF Securities has launched its own ETF platform in September 2008
• With its 2 platforms – ETC and ETF – ETF Securities has a unique
flexibility in term of product development
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ETF Securities – Product Offering

Structure ETC - Debt Securities ETF - Regulated funds

ETFS Metals Securities ETFS Commodity

ETFS Oil Securities ETFS Fund Company
and GBS Securities
Issuer
SPVs based in Jersey Funds based in Ireland
SPVs based in Jersey SPV based in Jersey

Number of products 7 110 9 13

Inception 2003 2006 2005 Sept '08

Crude Oil:
Tracking DJ-AIGCI - Tracking WTI
Indices (commodity (NYMEX) and Brent
futures) (ICE) futures Tracking equity indices
Tracking spot price 29 - Classic - 6 Oil tracker with
13 - Forward constant long dated Exposure obtained
Objective
Backed by physical 33- Short maturities through swaps. Current
bullions 33 - Leveraged Carbon: swap providers: Citigroup
- Tracking the ICE and Merrill Lynch
Exposure obtained carbon contract
through AIG Exposure obtained
through Shell

None (physically Extremely limited (100% Extremely Limited (less

Maximum Credit Risk Shell Company
backed) collateralised) than 10% of the NAV)
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ETF Securities – AUM growth (in US$ millions)

ETF Securities' Asset Growth by Sector
From October 2006 to October 2008, in billion USD
$12
Energy
$11
$10 Diversified
$9 Precious Metals
$8 Industrial Metals
$7
Agriculture & Livestock
$6
$5
$4
$3
$2
$1 Gold Bullion Securities
Source: ETF Securities
$0

Jul-08

Sep-08
Oct-08
Apr-08
May-08
Jun-08

Aug-08
Jul-07

Sep-07
Oct-07
Nov-07
Apr-07
May-07
Jun-07

Aug-07

Dec-07
Jan-08
Feb-08
Mar-08
Oct-06
Nov-06
Dec-06
Jan-07
Feb-07
Mar-07
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New Equity ETF Platform

• First Equity ETF offering for ETF Securities

• UCITS compliant

• Swap-based ETF model – multiple swap providers

• Maximum exposure with any swap provider cannot be more than 10%
of the NAV (UCITS rules)
• Currency of the NAV: same than the base currency of the index (see
slide thereafter)
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New ETF Platform - Offering

Base Listing base currency Listing base GBX
ETFs TER (bps) ISIN
Currency LSE code SEDOL LSE code SEDOL

ETFS Dow Jones STOXX 600 Basic Resources Fund EUR 30 IE00B3CNH733 BASR B3CJYM5 BASP B3DWS43

ETFS Dow Jones STOXX 600 Oil & Gas Fund EUR 30 IE00B3CNH840 OILG B3CJYS1 OILS B3DWS65

ETFS Dow Jones STOXX 600 Utilities Fund EUR 30 IE00B3CNH956 UTIL B3CJYZ8 UTIP B3DWS76

ETFS Russell 1000 Fund USD 35 IE00B3CNHH32 RONE B3CJZ55 RONP B3DWRY6

ETFS Russell 2000 Fund USD 45 IE00B3CNHJ55 RTWO B3CJZ88 RTWP B3DWS09

ETFS WNA Global Nuclear Energy Fund USD 65 IE00B3C94706 NUKE B3CJT08 NUKP B3DWRD5

ETFS Janney Global Water Fund USD 65 IE00B3CNHB79 WATE B3CJTY2 WATP B3DWRG8

ETFS S-Net ITG Global Agri Business Fund USD 65 IE00B3CNHD93 AGRI B3CJV46 AGRP B3DWRH9

ETFS DAXglobal Alternative Energy Fund EUR 65 IE00B3CNHC86 ALTE B3CJYF8 ALTP B3DWS21

ETFS Russell Global Coal Fund USD 65 IE00B3CNHF18 COAL B3CJV80 COAP B3DWRK2

ETFS Russell Global Gold Fund USD 65 IE00B3CNHG25 AUCO B3CJVD5 AUCP B3DWRM4

ETFS Russell Global Steel Large Cap Fund USD 65 IE00B3CNJ002 STEE B3CJVJ1 STEP B3DWRN5

ETFS Russell Global Shipping Large Cap Fund USD 65 IE00B3CMS880 SHIP B3CPX60 SHPP B3DWRT1
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Indices
• All the indices are Net Return indices (i.e. Total Return after tax on
dividends)

Base
Indices Code
Currency
Dow Jones STOXX 600 Basic Resources SXPR EUR
Dow Jones STOXX 600 Oil & Gas SXER EUR
Dow Jones STOXX 600 Utilities SX6R EUR
Russell 1000 RU10N30U USD
Russell 2000 RU20N30U USD
WNA Global Nuclear Energy WNAIT USD
Janney Global Water JGTIR USD
S-Net ITG Global Agri Business AGRIT USD
DAXglobal Alternative Energy DAXE EUR
Russell Global Coal RGLOECON USD
Russell Global Gold RGLOMGLN USD
Russell Global Steel Large Cap RGLOMSTK USD
Russell Global Shipping Large Cap RGLOPSHK USD
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Pricing Methodology
• Pricing information available on: www.etfsecurities.com/fund/
• The exposure being obtained through swaps the pricing can be done as
a ratio between the NAV and the Index Level

NAV(t) = Index(t) x (NAV(t-1)/Index(t-1)) x Adjustment(t)

Adjustment for tracking

Live NAV Live Index Previous day’s ratio error for day(t)

Provided daily by ETF Securities

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Current contacts

Entities Contacts

Linda Crow lcrow@bloomberg.net

Citigroup +44 (0) 2079 863 463
Wei Li wli36@bloomberg.net

Merrill Lynch Simon Roche rochesim@bloomberg.net +44 (0) 20 7996 1034

Nyenburgh Bastian Pits +31 (0) 205 213 933

Flow Traders Arnoud Verhoef +31 (0) 207 996 701

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ETF Securities contacts and documents

• ETF Securities contact
– +44 207 448 4330 (London Rep’s office)
– www.etfsecurities.com
– info@etfsecurities.com
– Hector McNeil – hector.mcneil@etfsecurities.com
– Benoit Autier – benoit.autier@etfsecurities.com
– Chingmin Chiu (Mandy) – cc@etfsecurities.com

• Pricing information:
– MSL: www.etfsecurities.com/msl/
– GBS and GOLD: www.goldbullionsecurities.com/
– OSL: www.etfsecurities.com/osl/
– CSL: www.etfsecurities.com/csl/
– Equity ETF: www.etfsecurities.com/fund/

• Documentation: www.etfsecurities.com/en/document/etfs_document.asp
• Events: www.etfsecurities.com/en/events/etfs_events.asp
• News: www.etfsecurities.com/en/events/etfs_news.asp
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Risk Warnings – Restricted Investors - Disclaimer

Risk Warnings: ETFS Fund Company public limited company (the “Company”) is an open-ended investment company with
variable capital having segregated liability between its sub-funds (each a “Fund”) and is organised under the laws of Ireland
as a public limited company. The Company was authorised by the Financial Regulator as a UCITS pursuant to the European
Communities (Undertaking for Collective Investment in Transferable Securities) Regulations, 2003 and shall issue a separate
class of shares (the “Shares”) representing each Fund. Further information in relation to a particular Fund can be found in the
latest prospectus of the Company which should be read in conjunction with the relevant fund supplement (together the
“Prospectus”). An investment in Shares of a particular Fund may or may not be suitable for a particular investor. The price of
Shares may go up or down and an investor may not get back the amount invested. Historical performance is not a guarantee
for future performance. The Shares will be priced in the base currency of the relevant Fund and so the value of the
investment in other currencies will be affected by exchange rate movements. To the extent Shares are traded in other
currencies, their value may also be affected by exchange rate movements.
Restricted Investors: The information in this document is designed solely for use in the Republic of Ireland and the
Netherlands and complies with the regulatory requirements of these jurisdictions only. The distribution of the Prospectus and
this document and the offering, sale and delivery of Shares in other jurisdictions may be restricted by law. In particular please
see the section below headed “Important information for persons resident in particular jurisdictions.” This document is
furnished for the private information of the recipient and must not be copied, given or shown to any other person. Any
subscription for Shares should be made on the basis of the Prospectus. Shares will not be registered under the United States
Securities Act of 1933 or qualified under any applicable state securities statutes. The Company will not be registered as
investment companies under the US Investment Company Act of 1940.
Disclaimer: Any investment in Shares carries with it certain risks, including those risks set out in the Prospectus. You
should obtain your own independent financial, taxation and legal advice before making any decisions about any investment in
Shares. This information is not an offer of Shares and should not be used as the basis for any investment decision. The
Shares of each Fund have been listed on the Irish Stock Exchange and the Euronext Amsterdam and may be purchased on
such exchanges. This information is issued by the Company and does not constitute financial product advice. The Company
does not guarantee the performance of Shares of a Fund and does not accept any responsibility for any omissions or
inaccuracies in this document, which it believes to be correct at the time of issue. Regulated by the Jersey Financial Services
Commission.
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Important information for persons resident in particular
jurisdictions
Important information for persons resident in Austria: Any information provided in this document does not constitute an offer to the public or an invitation to the
public to make an offer for the acquisition of Shares in the Funds of the Company by Austrian investors. The Shares are exclusively available to a limited number (less
than 100) of individually selected investors in Austria. Therefore, the Prospectus is not a prospectus pursuant to the Austrian Investment Funds Act. This document, the
Prospectus and other materials relating to Shares are strictly confidential and may not be distributed to any person or entity other than the recipients hereof. This
document as well as any information contained herein may not be supplied to the public in Austria or used in connection with any offer for subscription of Shares to the
public in Austria. The Shares must not be offered by public advertisement or in any similar manner in Austria.
Important information for persons resident in Luxembourg: This document and any offering of Shares does not and is not intended to constitute a public offer of
Shares in the Grand Duchy of Luxembourg and as a consequence no notification has been made to the Luxembourg regulators. Therefore, Shares may not be offered,
sold or otherwise marketed in the Grand Duchy of Luxembourg in circumstances that constitute a public offer under Luxembourg law. This document will not be used for
a public offer in the Grand Duchy of Luxembourg of the Shares represented thereby and does not constitute a public offer to anyone in the Grand Duchy of Luxembourg
to purchase the Shares.
Important information for persons resident in Spain: The sale of the Shares in the Funds of the Company which this document refers to have not been registered
with the Spanish National Securities Market Commission (“Comision Nacional del Mercado de Valores”) pursuant to Spanish laws and regulations and do not form part
of any public offer of such Shares in Spain. Accordingly, no Shares in the Funds of the Company may be or are presently intended to be publicly offered, marketed or
promoted, nor any public offer in respect thereof made, in Spain, nor may this document or any other offering materials relating to the offer of Shares in Funds be
distributed, in the Kingdom of Spain, by ETF Securities Limited or any other person on their behalf, except in circumstances which do not constitute a public offering and
marketing in Spain within the meaning of Spanish laws and in compliance with all legal and regulatory requirements in relation thereto. This document and any other
materials relating to Shares are strictly confidential and may not be distributed to any person or any entity other than its recipients.
Important information for persons resident in Switzerland: The Company has not been and will not be authorised by or registered with the Swiss Federal Banking
Commission as a foreign collective investment scheme pursuant to Article 120 of the Swiss Federal Act on Collective Investment Schemes of June 23, 2006.
Accordingly, the Shares may not be offered or distributed to the public in or from Switzerland, unless such offer or distribution is addressed to Swiss investors without
any public offering in accordance with the relevant practice of the Swiss Federal Banking Commission. This document may be used in a private placement only and is
personal to the addressee. It does not constitute an offer to any other person and may only be used by those persons to whom it has been handed out in connection
with the offer described herein. It may not be used in connection with any other offer and may neither be copied, used by, distributed or made available to any other
person.
Important information for persons resident in United Kingdom: The distribution in the United Kingdom of this document and any other marketing materials relating
to the Company (A) if effected by a person who is not an authorised person under FSMA, is being addressed to, or directed at, only the following persons: (i) persons
who are "Investment Professionals" as defined in Article 19(5) of the FSMA (Financial Promotion) Order 2005 (the "Financial Promotion Order") and (ii) persons falling
within any of the categories of persons described in Article 49 ("High net worth companies, unincorporated associations etc") of the Financial Promotion Order and (iii)
any other person to whom it may otherwise lawfully be distributed in accordance with the Financial Promotion Order and (B) if effected by a person who is an authorised
person under FSMA, is being addressed to, or directed at, only the following persons: (i) persons falling within one of the categories of "Investment Professionals" as
defined in Article 14(5) of the FSMA (Promotion of Collective Investment Schemes) (Exemption) Order 2001 (the "Promotion of CISs Order"), (ii) persons falling within
any categories of persons described in Article 22 `("High net worth companies, unincorporated associations etc") of the Promotion of CISs Order and (iii) any other
person to whom it may otherwise lawfully be distributed in accordance with the Promotion of CISs Order. Persons of any other description in the United Kingdom may
not receive and should not act or rely on this document or any other marketing materials relating to Company. Potential investors in the United Kingdom are advised that
all, or most, of the protections afforded by the United Kingdom regulatory system will not apply to an investment in Shares and that compensation will not be available
under the United Kingdom Financial Services Compensation Scheme.