RBS in Australia is offering delta-one access to a series of Jim Rogers' rules-based commodity-linked indices for the local Australian market, and plans to launch a series of retail structured products based on the benchmarks.
The RICI Enhanced Indices are a collection of five composite total-return commodity indices linked to 36 globally traded commodity futures, ranging from agricultural and energy products to minerals and metals. Investors are not exposed to AUD/USD movements with the product's currency exposure hedged in Australian dollars.
"For many reasons, interest in commodities exposure continues to grow among investors," said Aaron Stambulich, head of structured retail products at RBS. "We're excited to now bring these enhanced capabilities to the marketplace where there is a demand to create a more stable diversified portfolio through a commodities product offering with improved risk return."
Investors are currently able to invest in the RICI Enhanced Indices through exchange-traded certificates, which are due to be listed on the ASX in late August 2011. As the first certificates are delta-one products they will not be included on SRP's Australian database. It is expected that the indices will be used in structured products later this year.