- Oil prices continued to slide as investors eye the release of OPEC’s latest monthly report later today. Further volatility is expected with the demand and supply outlook likely to remain unchanged.
- Since the rally in late August, sentiment towards WTI crude oil has been bearish with prices having fallen by 9.4% this month. Boost geared short ETPs tracking WTI crude oil returned 26.8% over the same period (as of 11/09/2015, see chart).
- Boost ETP, A WisdomTree Company, saw significant creations in oil ETPs of $26m last week, with month-to-date creations totaling $52m. This suggests that at times of heightened volatility, investors are trading crude oil using S&L ETPs to hedge their long exposures or to position opportunistically.
- Trading volume for all seven of our Boost oil ETPs has reached over $220m for the month so far. Notional AUM has also been heavily skewed towards geared long positions at over $463m.
Investors sharing this sentiment can review following Boost ETPs:
- Boost WTI Oil 3x Short Daily ETP (3OIS)
- Boost WTI Oil 2x Short Daily ETP (2OIS)
- Boost WTI Oil 1x Short Daily ETP (OILZ)
All data is sourced from WisdomTree Europe and Bloomberg, unless otherwise stated.