Physical White Metals ETF (WITE): Two Years Later

Page 1 of 2

Two years ago, ETF Securities launched the first ever physically-backed precious metals ETF that focuses exclusively on silver, platinum and palladium. Since its inception in December 2010, White Metals Basket Trust (NYSEARCA:WITE) has accumulated just over $40 million in assets under management and trades on average over 3,000 shares daily. As the global market moves steadily into recovery, WITE remains a strong and moderately-priced portfolio for commodity investors [for more precious metals news and analysis subscribe to our free newsletter].

Under The Hood

WITE is the only offering that offers bundled exposure to silver, platinum and palladium under one ticker. This one-of-a-kind offering is designed to reflect the performance of the prices of silver, platinum and palladium bullion through a portfolio that is comprised of physical exposure to each of the metals. From an allocation perspective, WITE dedicates about 60% of its total assets to silver, while platinum account for 30% and palladium fills in the last slot at 10%. JP Morgan Chase Bank is the custodian for the fund’s vaults, with the silver stored in London, while the platinum and palladium are either held in London or Zurich.

JPMorgan Chase & Co (NYSE:JPM)

Physical Vs. Futures Exposure

Thanks to the rapid expansion of the exchange-traded universe, investors now have multiple tools to choose from when it comes to selecting the optimal commodity instrument for their portfolios, taking into account both relative needs as well as risk tolerance. For precious metals exposure, investors can opt for one of several futures-based or physically-backed products, while some may even choose to gain tangential exposure through commodity producers. Physically-backed products like WITE are designed to move in unison with the spot price of the underlying metals, while futures-based ETPs may deviate from changes in spot prices depending on the state of futures markets or yields available on excess cash. Futures-based exposure introduces several nuances and additional factors that impact bottom line performance: these products depend on the spot price of the metal, roll yield related to the slope of the futures curve and interest earned on non-invested cash [see 25 Ways To Invest In Silver].

Page 1 of 2
blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

The 6 Cheapest Boarding Schools in Europe 2015

The 5 Most Expensive Cars To Insure in the World

The 10 Most Common Genetically Modified Foods

10 Self-Made Billionaires Who Came From Nothing

The 10 Most Expensive Cities to Live in North America

The 13 Most Expensive Headphones in the World to Represent

The Top 20 Wealthiest Soccer Teams in 2014

4 BuzzWorthy Cannabis Stocks And Some Smoking Derivative Plays

The 10 Healthiest Fast Food Chains in America to Dine At

The 5 Most Expensive Cat Food Brands You Can Spoil Your Kitty With

The 6 Best eCommerce Platforms for Small Businesses

The 10 Worst Mistakes an Entrepreneur Can Make

The 5 Most OP Characters in League of Legends to Carry Games and Crush Foes With

The 5 Best Foods to Eat Before Running that Will Help You Pound the Pavement

10 Glaring Plot Holes in The Walking Dead that a Zombie-Filled Bus Could Drive Through

The 5 Biggest Celebrity Stoners Who Love Their Reefer

The 10 Most Overrated Movies Of All Time by Out-of-Touch Critics

Top 6 Least Expensive Cruise Destinations For 2015 that Will Take You to Paradise

10 States with Lowest Substance Abuse Rates in America

The 14 Most Watched TV Finales Ever

The 10 Best Selling Role Playing Games of All Time for PC

10 Most Influential Papers In Economics

Top 8 Biggest Charities in the US

10 Worst Celebrity Career Moves Ever

Top 10 Best Paid Tennis Stars in the World

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

How to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

The 15 Most Common Phobias in America that Induce Fits of Panic

Top 6 Least Expensive Tourist Destinations in 2014

Jim Goetz, Peter Fenton, Jim Breyer: Top 6 Venture Investors for 2014

Top 15 Billionaires in 2014

5 Pitfalls To Avoid When Buying a Franchise

Top 20 Medical Schools in the US – 2014 Rankings

4 Business Strategies that Turned Jamie Oliver into the World’s Richest Chef

6 Qualities That Make You A Good Team Player

10 High Paying Seasonal Jobs in America this Holiday Season

The 10 Busiest Shipping Lanes in the World

5 Most Valuable Brands in China

The 10 States with Highest Substance Abuse Rates Crippling Their Populace

The Top 10 Things to Do Before You Die That Will Echo for Eternity

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!