Exchange-traded product (ETP) providers are competing for assets in the commodity space as growth in this sector is expected to slow and as new players enter the market, Deutsche Bank says.
In its latest research report, the bank says demand for exchange-traded commodities (ETCs) will slow in 2010 from 145% growth in 2009, due to commodities reaching critical mass over the last two years. Yet Deutsche says growth will remain healthy, rising between 60-90% in the European commodity-based ETP market this year. The firm highlights new entrants to the ETP market, including UBS and Deutsche launching ETC platforms, fuel the race for asset gathering in this increasingly popular sector. At the start of 2010, 43 new ETC products were unveiled, bolstering the commodity ETP seg...
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