Deutsche Börse lists exchange-traded Xetra Gold in Luxembourg

Deutsche Börse Commodities has listed a new exchange-traded product for investors in Luxembourg, offering the option for delivery in physical gold. The notes, which are zero coupon bonds denominated in gold, are fully liquid and listed on the Frankfurt Stock Exchange.

At the investor's request, each unit can be exchanged for one gram of physical gold, which is held in a vault by Clearstream Banking Frankfurt, a Deutsche Börse subsidiary. Umicore then handles the delivery of gold to the investor. The product was originally launched in Germany in 2007, where its turnover reached €190.8 million in October 2008, representing 49% of all exchange-traded commodity volume out of 114 products listed on the Frankfurt Stock Exchange that month.

The bearer's note also