World's first FTSE 250 short & leverage ETP on the LSE
Wednesday 17th July '13
- World’s first Short and Leveraged (S&L) FTSE 250 ETPs
- New FTSE 100 Short and Leveraged ETPs with market beating expense ratios
- Existing 3x Short and Leveraged FTSE 100 ETPs account for 80% of Boost trading volumes
BOOST ETP the award winning and independent Exchange-Traded Product (ETP) provider announced today that it has listed five new FTSE products in its range of equity Short and Leveraged ETPs, bringing the total number of equity ETPs to 17. BOOST listed its first set of S&L products, the first issuer to focus on 3x Short and 3x Leveraged ETPs, in December 2012.
Demand for transparent S&L ETPs has increased over the past few years with global S&L ETP assets rising to just under $50bn, as many financial markets have trended sideways, resulting in volatile but poor long term returns.
BOOST’s list of new S&L ETPs tracking FTSE indices are:
NEW Product Name LSE Code
Boost FTSE 250 1x Short Daily ETP 1MCS
Boost FTSE 250 2x Leverage Daily ETP 2MCL
Boost FTSE 100 2x Leverage Daily ETP 2UKL
Boost FTSE 100 2x Short Daily ETP 2UKS
Boost FTSE 100 1x Short Daily ETP SUK1
Existing FTSE 100 S&L ETPs:
CURRENT Product Name LSE Code
Boost FTSE 100 3x Leverage Daily ETP 3UKL
Boost FTSE 100 3x Short Daily ETP 3UKS
BOOST ETP is the first issuer in the world to list FTSE 250 S&L ETPs, which will complement Boost’s offering of S&L ETPs tracking the FTSE 100. Investors will now be able to trade UK large-cap or mid-cap on a short and leveraged basis in one simple trade.
BOOST’s three new S&L FTSE 100 ETPs will provide -1x, -2x and +2x exposures to the daily change in the FTSE 100 Index. The 3 new FTSE 100 products all have expense ratios significantly less than similar ETPs already available on the LSE. The current FTSE 100 products equate to approx. 80% of trading volumes for Boost.
Being one of the leaders and the only Issuer dedicated to S&L products within Europe, BOOST has worked hard to educate the market and has recently introduced the Boost Advisor Tool Kit, which includes the Boost Advisor Tutorial and Test, S&L Advisor Simulator and a number of educational fact sheets.
Hector McNeil, Co-CEO, commented: “Boost is continuing to lead the development of the European S&L market. The addition of the unique FTSE 250 ETPs and providing the most comprehensive platform of FTSE 100 S&L ETPs will add significant value to the UK investor community. This is especially the case when we see other European issuers consolidating their offerings, We are also continuing to build up our educational offering on boostetp.com where we have added significant ETF and ETP tools and educational aid; most notably the ‘Adviser/Investor Tool Kit’.”
These new products will be continue to be supported by BOOST’s designated market maker, KCG, formally known as GETCO. Aidan Hsu, ETF Trader at KCG added, “KCG is delighted to build on our partnerships with BOOST and the LSE to provide liquidity to these new and exciting products on this leading global venue. As the current market makers for all the existing Boost ETPs and the market maker on the LSE, KCG will also facilitate OTC trades for counterparties and clients. We look forward to expanding our role as we combine our advanced technology with exceptional client service to offer unparalleled efficiency, liquidity and connectivity across multiple asset classes globally.”
Sudir Raju, Managing Director, ETP Relationships, at FTSE, said “The FTSE Short and Leveraged indices are ideal for use in ETPs due to their highly transparent, rules based methodologies. We are delighted to be extending our relationship with Boost through the use of further FTSE indices in their new ETPs.”