ETF Securities expands Australian business with large deal

• Taurus Funds Management invests into ETFS platform for gold and precious metals

SYDNEY, 15 March 2010 - ETF Securities today announced a new partnership with specialist resources funds manager Taurus Funds Management (Taurus) to provide a platform for Taurus to gain direct exposure to gold and other precious metals via its suite of exchange traded commodity (ETC) products.

Taurus specialises in managing funds in the global natural resources and commodity sectors, including the management of a gold and precious metals fund. The fund is structured to generate returns ahead of gold bullion through selective switching between different precious metal commodities and also commodities and precious metal equities.

The deal will see Taurus initially invest sizeable (but undisclosed) amount into ETFS’ ETC products with the potential for further inflows as the fund grows. Mr Nigel Phelan, Head of Sales in Australia and New Zealand at ETFS, said the deal was the first in a range of potential partnerships in the Australian market. “Large investors are looking for efficient and flexible access to the commodities market and ETCs allow investors access to liquidity and quick trades with minimal cost,” Mr Phelan said. “We expect more investors to look to ETCs as the market becomes better acquainted with the product.”

Mohendra Moodley, Director at Taurus, said he was excited about the opportunity this partnership represented. “We’ve been extremely impressed with the ETFS product as a cost effective and convenient mechanism through which to gain exposure to physically-backed gold and other precious metals through a single provider and platform,” he said.

The Taurus precious metals portfolio allocates the majority of its assets to various physical commodities. The proportion of funds allocated to the different precious metals changes regularly, which means the liquidity of ETCs is particularly important. As ETCs also have low transaction costs, these allocation changes are achieved in a cost effective manner.

The ETFS platform allows Taurus to trade with minimal fuss. As ETFS provides physical exposure to gold, platinum, palladium and silver, Taurus can change its strategy and allocation between the different precious metals in a simple manner. Mr Moodley said: “As the pioneers of ETCs globally, we feel comfortable that we have chosen an experienced ETC provider with ETFS. Their track record in delivering liquidity, flexibility and physical backed products gives us great confidence.”

For further information or to speak to the research team at ETF Securities please contact:

Suk Hee Lee
Honner Media
+61 (0)2 8248 3752
+61 (0)433 343 888

About ETF Securities

ETF Securities is a provider of Exchange Traded Commodities (ETCs) and 3rd generation Exchange Traded Funds (ETFs). The management of ETF Securities pioneered the development of ETCs, with the world's first listing of an ETC, Gold Bullion Securities in Australia and London in 2003 and then the world's first entire ETC platform which was listed on the London Stock Exchange in September 2006. ETF Securities now offers more than 150 Exchange Traded Products (ETPs) with A$17.1bn (US$15bn) in assets under management as of 01/10/09.

The ETFs provide investors with a wide variety of investment strategies, with ETPs offering resource equities, physical, long, forward, leveraged and short exposure to all commodity sectors. ETPs are simple to access as they are traded in five currencies (EUR, USD, GBP, AUD and JPY) and listed on nine major exchanges globally including the London Stock Exchange, the New York Stock Exchange, the Tokyo Stock Exchange, NYSE-Euronext Paris, NYSE-Euronext Amsterdam, Deutsche Börse, Borsa Italiana, the Australian Securities Exchange and the Irish Stock Exchange.

To learn more about ETF Securities go to: www.etfsecurities.com

About Taurus Funds

Based in Sydney, Australia, Taurus Funds Management is an independent, global fund manager for institutional and high net worth and wholesale investors. With over 170 years combined experience Taurus specialises in investment products (private equity, long-only and hedge) based on the natural resources industry. Our team of geologists, mining engineers, mining financiers, project developers and operators, and portfolio managers provides the skills and experience for targeting successful investments. Taurus currently manages investment products in mining and precious metals. These products have been developed to cater to the requirements of individual and groups of wholesale investors.

Regulatory Info

This press release has been issue by ETF Securities Limited, which is regulated by the Jersey Financial Services Commission, for journalists in Australia only. ETFS Metal Securities Australia Limited is a wholly owned subsidiary of ETF Securities Limited.

This press release appears as a matter of record only and does not constitute an offer to sell or an invitation to purchase any securities.

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