source exchange traded products overviewpress.source.info/documents/english/source overview...

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Succeeding through innovation

For institutional investors only

Source has been recognised for excellence within the

ETP market by the following awards:

ETF Express Awards

Award winners in: 2010, 2011, 2012, 2013 and 2014

FERI EuroRating Awards

Award winners in: 2012

Global ETF Awards


Investors Chronicle Awards


Structured Products Europe Awards

Award winners in: 2010 and 2012

Succeeding through innovation

Source is one of the fastest growing ETP providers in Europe, having

raised over US$ 15 billion and having more than US$ 550 billion traded

in its products since launch in April 2009.1

Partnering with the market

Through its partners, Source aims to design highly liquid

products. Owned by fi ve of the world’s largest trading houses

– BofA Merrill Lynch, Goldman Sachs, J.P. Morgan,

Morgan Stanley and Nomura – Source has leveraged its

core partners as well as over 20 other trading partners, to

deliver improved returns through reduced trading costs.

More recently, Source has partnered with PIMCO, Man GLG,

CSOP and Legal & General Investment Management in order

to deliver innovative products designed specifi cally to respond

to the challenges investors face in the current markets.

Trading liquidity

Source stands out through its focus on enhancing investor

returns. It aims to achieve this by increasing trading

volumes which result in reduced trading costs. Despite its

short history, the Source model is already delivering these

benefi ts to investors.

Controlled counterparty risk

Source’s model is built to provide a robust and transparent

solution to managing counterparty risk. Investors are

concerned about counterparty exposure in all ETFs

(including ‘physical replication’ products). Source’s unique

approach combines counterparty diversifi cation, strict risk

limits and a high level of investor transparency with full

investment in traded securities.

1 Data: Source as of March 2014.

1

In thisbrochure

Source overview Source believes that Europe deserves a

more effi cient market for Exchange Traded

Products (ETPs). Source is a specialist

provider of ETPs with a unique approach

and deep roots in the trading community.

Source offers investors compelling exposure

to equity, commodity, alternative and fi xed

income markets through expertly engineered

Exchange Traded Products (ETFs and ETCs).

Source’s product range includes 52 equity

ETFs, 5 alternative asset ETFs, 8 fi xed income

ETFs, 1 commodity ETF, 7 commodity

T-ETCs and 4 physical commodity P-ETCs.

Today’s investors expect not only the best

risk management and potential return, but

also the highest quality investment vehicle.

Source ETFs offer transparency and a robust

structure across the operational process.

Source ETCs are securities (rather than funds)

that deliver commodity exposure and are

backed by US T-Bills (T-ETC) or by physical

commodity holdings (P-ETC).

How to trade Source ETPsTo buy or sell Source ETPs, please contact

one of our trading partners. You will fi nd further

detail about the source product range within

this section.

Important information

and risks

p.4.

p.18.

p.24.

3

Source offers investors compelling exposure to equity,

commodity, alternative and fi xed income markets through

expertly engineered Exchange Traded Products (ETFs and

ETCs). Our ETFs are UCITS compliant funds domiciled in

Ireland. Our ETCs (T-ETCs and P-ETCs) are exchange

traded securities offering UCITS compliant market

exposure where a fund structure is not available.

Source believes that Europe deserves a more effi cient

market for Exchange Traded Products (ETPs). Source’s

open architecture, multi-partner approach taps into this

opportunity, delivering enhanced liquidity, increased

transparency, diminished counterparty risk and improved

market performance. Source and its partners recognise

the value in creating a new, common standard for ETPs.

Why are we doing this?

Source is a leading provider of exchange traded products

(ETFs and ETCs) offering exposure to equity, commodity

and fi xed income benchmarks. Source has 77 products,

over US$ 15 billion in assets and ranked number two in

Europe for asset gathering in 2012. Source offers a range of

traditional passive funds tracking mainstream benchmarks

such as Euro STOXX 50, S&P 500 and FTSE 100 as well as

value-added products from our partners which include

CSOP, J.P. Morgan, Legal and General Investment

Management, Man Group, Nomura and PIMCO.

Source ETPs – impressive growth

We are creating innovative ETPs because they are naturally

great products but we can make them even better. In the

past, there has been a proliferation of almost identical

products from different providers offering access to overlapping

indices across multiple exchanges with less than clear

counterparty exposure. This ‘format war’ reduces the value

available to European investors. It fragments liquidity and

detracts from the quality of the investment opportunity.

Our clients and our partners are active and enthusiastic

participants in the global ETP markets. We have come

together to harness our unparalleled collective experience

and expertise in ETPs and the broader universe of passive

investment products.

Top 5 Source products AuM

Source Physical Gold P-ETC US$ 2.0 billion

PIMCO US Dollar Short Maturity Source ETF US$ 1.6 billion

PIMCO Euro Short Maturity Source ETF US$ 1.4 billion

PIMCO Short-Term High Yield Source ETF US$ 910 million

Source MSCI Europe UCITS ETF US$ 890 million

Investors, traders, market makers and other industry participants have

spoken clearly. They want more from the European ETP market.

They want more liquidity, more effi ciency and more protection against

credit risk.

Source is designed to deliver more

Source overview

Data: Source as of March 2014

4

Source overview

Liquidity

Source has a simple approach to enhancing liquidity. First,

we bring together fi ve of the world’s largest equity trading

houses. Second, we partner with Europe’s most respected

on-screen market makers. Third, we make our ETFs

available to borrow and short. Concentrating the signifi cant

transaction fl ow of these leading market participants

means a deeper and more effi cient trading experience for

everyone. The results are clear. Today, Source has some of

the most liquid and actively traded products in the market.

Effi ciency

Source ETPs bring together the effi ciency of swap

enhanced funds with the broad based broker support

associated with physical replication products. Uniquely, we

offer total return performance across our range of equity

funds, providing continuous and frictionless reinvestment

for investors. Coupled with competitive fee structures,

Source’s products aim to bring a new level of effi ciency to

the European market.

Protection

Source products are designed to bring a new level of

protection to ETP investors. Source’s model delivers a

robust and transparent solution, managing counterparty

risk in the market. Investors are concerned about counterparty

exposure in all ETFs (including ‘physical replication’

products). Source’s unique approach combines counterparty

diversifi cation, strict risk limits and investor transparency

with full investment in traded securities. In fact, Source’s

T-ETCs are the only ETPs in the market that are exclusively

backed by US Treasury Bills and cash.

5

Source overview

Milestones and AuM growth

18

16

2

10

6

0

12

4

14

8

Sou

rce

AuM

(US

$ bi

llion)

2009 2010 2011

Apr 09 Apr 10 Apr 11

June 2009Physical gold P-ETC Launched

July 2009European Optimised Sectors launched

January 2010Crude Oil Enhanced launchedUS Sectors launchedRDX launched

June 2010First volatility product launched (S&P 500 VIX Futures Source ETF)

February 2011Man GLG Europe Plus

ETF launchedUS MINT launched

April 2011Further 3 P-ETCs

launched

June 2011Sterling

MINT launched

SeptemEMLB la

6

Source overview

2012 2013 2014

Equity and alternativeETFs

CommodityETCs

Fixed incomeETFs

Mar 13 Mar14Mar 12

mber 2011aunched

March 2012STHY launched

December 2012#2 in Europe for asset

gathering in 2012

May 2013MLP ETF launched

September 2013Man GLG Continental Europe

Plus and Asia Plus ETFs launched

January 2014COVR launched

CSOP Source FTSE China A50 ETF launched

GS Equity Factor Index World ETF launched

7

Product highlights

Source overview

Source launches fi rst actively managed ETFs in Europe

In December 2010, Source expanded its footprint in the

fi xed income space, by entering into an agreement with PIMCO,

a leading global investment management fi rm, to launch

and distribute the PIMCO Source fi xed income ETF range.

In 2011, PIMCO and Source launched the fi rst fi ve PIMCO

Source fi xed income products. Among the products

launched were Europe’s fi rst actively managed ETFs: the

PIMCO Short Maturity ETFs in USD, EUR and GBP,

offering the potential for enhanced yield versus cash or

money market funds.

Two further products were launched in 2012: the PIMCO

Source Short-Term High Yield Corporate Bond ETF

(STHY), giving investors access to bonds within the

short-term segment of the high yield market and the

PIMCO German Government Bond Index Source ETF

(BUND), giving investors exposure to German bonds,

without the use of securities lending.

The most recent product, the PIMCO Covered Bond

Source UCITS ETF (COVR) was launched in January 2014.

It seeks to maximise total return, consistent with prudent

investment management and a high degree of liquidity.

PIMCO Source fi xed income ETFs combine the

transparency and operational ease that investors expect

from Source ETFs with PIMCO’s four decades of

investment management expertise and thought leadership.

PIMCO Source fi xed income ETFs have now grown to

have over US$ 4 billion in assets.

Source Physical Gold (SGLD LN) – The second most

traded ETP on the LSE in 2012

Source’s Physical Gold P-ETC (SGLD LN) has seen strong

infl ows since inception. In 2012, it saw over US$ 1.6 billion

in net new assets and over US$ 7.5 billion in turnover, making it

the second most traded ETP on the London Stock Exchange.1

SGLD currently has US$ 2 billion in assets, making it one

of the largest gold products in Europe. Building on this

success, Source expanded its range of Physical

Commodity P-ETCs in 2011 to include Silver, Platinum

and Palladium.

Source’s P-ETCs combine the convenience and liquidity of

an exchange traded product with the reassurance of

physical investment. All Source P-ETCs are listed on the

LSE and trade in US dollars. SGLD also trades on SIX

Swiss Exchange in US dollars, the Deutsche Börse in EUR

and on the LSE in GBP.

Source Man GLG Europe Plus UCITS ETF - turning

ideas into alpha

In February 2011, Source teamed up with one of the largest

global hedge funds, Man GLG, to launch the Source

Man GLG Europe Plus UCITS ETF. This ground-breaking

Source aims to offer the highest quality exposure in each asset class.

To complement our range of benchmark index products, we work with our

partners – each leaders in their fi elds – to deliver innovative new products.

These fl agship products are central to Source’s value proposition.

8

Source overview

product provides exposure to an active strategy

developed by Man Systematic Strategies via the Man GLG

Europe Plus strategy. The long only total return European

equity index is designed to capture outperformance

from broker ideas provided specifi cally to Man GLG. The

underlying strategy targets returns of 2% to 5% above the

broad European equity market. The strategy has

outperformed the MSCI Europe Index for 5 of the past 6

years. Since its launch, the Source Man GLG Europe Plus

UCITS ETF has seen impressive infl ows, taking its assets

to €530 million, as of March 2014. In September 2013,

Source and Man launched two further ETFs, the Source

Man GLG Continental Europe Plus UCITS ETF and the

Source Man GLG Asia Plus UCITS ETF. The underlying

strategies also leverage Man’s systematic approach to

evaluating broker ideas specifi c to continental Europe (ex

UK) and Asia (ex Japan).

Source LGIM Commodity Composite UCITS ETF

In January 2012, Source partnered with Legal & General

Investment Management (LGIM), one of the UK’s leading

index managers, to launch the ground-breaking Source

LGIM Commodity Composite UCITS ETF. The fund,

which tracks the LGIM Commodity Composite Index, is

designed to offer high quality, diversifi ed exposure to

commodities in a UCITS compliant ETF. The underlying

LGIM Commodity Composite index is a new kind of

benchmark for broad-based commodity exposure. Using

LGIM’s expertise as an index manager and an in-depth

quantitative and qualitative screening process, it offers

exposure to the global commodity market through a

selection of ‘best of breed’ commodity indices.

Source Optimised Supersector ETFs –

Impressive liquidity

Source Optimised Supersector ETFs have gained

increasing popularity, absorbing investor demand to reach

over € 1.5 billion in AuM. They currently have a 69% share

of the European sector ETF market turnover on Deutsche

Börse.2 The sector indices underlying the Source ETFs

were created by STOXX and Source to deliberately

enhance trading liquidity by addressing concentration and

securities lending concerns.

Source Volatility ETFs – impressive growth

Over the course of 2013, Source saw strong infl ows in its

volatility products, particularly in the Nomura Voltage

Source ETFs and the launched J.P. Morgan Macro Hedge

Source ETFs. Year to date, Source volatility products

captured over 43% of European volatility market share3,

taking Source total volatility assets to over US$ 130 million.

US Energy Infrastructure MLP UCITS ETF - exposure

to the US mid-stream energy sector

In May 2013, Source launched the fi rst UCITS compliant

European ETF to offer exposure to the burgeoning US

energy infrastructure sector via Master Limited Partnerships

(MLPs), the Source Morningstar US Energy Infrastructure

MLP UCITS ETF. MLPs trade on exchange like traditional

equities and engage in activities such as pipeline, tanker or

barge transportation, providing storage and operating

processing facilities. The underlying index targets the top

97% of the investable energy MLP universe by market

capitalisation with weightings determined by the dollar

value of their annual distributions. Individual constituents

are capped at a maximum weighting of 10%. The fund is

available in both a reinvesting and distributing share class

and has raised around US$ 130 million since launch.

1 Data: Deutsche Bank Markets Research as at 11th January 2013, London Stock Exchange as at end of December 2013.2 Data: Deutsche Börse, March 2013 – February 2014. Includes cascade (OTC) turnover.3 Data: Bloomberg, 17 March 2014.All data as of March 2014, unless otherwise specifi ed.

9

Exposure to equity market indices

Cash and basket performance

Security basket and index performance/dividends

Basket performance

Security basket

Cash

ETF

Cash

ETF

Dividends (if any)

InvestorPurchases Source ETFs on exchange or through market counterparty

Authorised ParticipantDelivers cash to Source Markets PLC

Source Markets PLC (SMP)Investment Manager buys basket of securities and enters into total return swap

Swap counterpartySells basket of securities and enters into total return swap

Custodian/Fund Administrator Holds basket of securities & administers fund on behalf of SMP

Source equity and alternative ETFs are open-ended funds

that can be created or redeemed on demand. They are

traded and settled both OTC and on exchange and have

market maker support providing liquidity and robust

bid-offer spreads.

Source equity and alternative ETF structure

Source equity and alternative Exchange Traded Funds

(‘ETFs’) are UCITS compliant funds which track a

benchmark index by investing in listed equities and

entering into total return swaps to achieve the index

performance. Swap-enhanced ETFs provide an effi cient

way of index tracking resulting in lower tracking error while

the swap counterparties (Bank of America Merrill Lynch,

Goldman Sachs, J.P. Morgan, Morgan Stanley and

Nomura) bear the risk and cost of tracking the index.

Source equity and alternative ETFs may receive their index

exposure from multiple counterparties, thus diversifying

the risk away from any single counterparty although some

products with specialised index exposure may only use

one swap counterparty. Any counterparty must satisfy and

maintain predefi ned credit criteria in order to transact with

the funds as well as observing strict exposure limits. This

combination of effi cient index tracking performance and

robust management of counterparty risk provides the

investor with a signifi cantly enhanced product.

Source equity and alternative

ETFs enable an investor to gain

exposure to the performance of

various equity market indices in

a single trade. They are linked to

broad, regional, country and

alternative asset indices as well

as a variety of sectors.

Source swap-enhanced ETF structure

Source overview10

Key features

Liquidity

Source’s multi broker/dealer approach can enhance daily

liquidity and provides robust bid-offer spreads both OTC

and on exchange. Source equity and alternative ETFs

have similar liquidity characteristics to their underlying

traded securities.

Flexibility

By using Source equity and alternative ETFs on a number

of indices, an investor can build or customise a range of

exposures and with intraday liquidity can adjust these

exposures dynamically. Source ETFs can be lent and

borrowed, allowing investors to go long and short indices.

Transparency

Source equity and alternative ETFs aim to replicate the

performance of the underlying index. Additionally, they

benefi t from a transparent fund and cost-structure.

Benchmark constituents and weightings are published

daily on www.source.info.

Simplicity

Source ETFs help investors gain exposure to a wide range

of indices while executing only one trade.

Accessibility

Source ETFs are traded and settled on regulated stock

exchanges and can be purchased and held in ordinary

brokerage or custodial accounts.

Cost-effectiveness

Source ETFs aim to have signifi cantly lower management

fees or total expense ratios (TERs) than many actively

managed funds.

Source overview 11

A smarter solution forfi xed income

Investors looking to navigate this complex asset class

need an experienced manager, who performs more than

just a mechanical role in the fund management process. A

specialist fi xed income manager can select and manage a

portfolio, but they can also do more. They can guide

investors by creating an intelligent product range, with a

mix of active funds for real outperformance and passive

funds with carefully selected benchmarks.

PIMCO is one of the world’s leading fi xed income

managers. PIMCO Source ETFs combine the transparency

and operational simplicity that investors expect from

Source ETFs with world-class product design and portfolio

management expertise: an effective and effi cient way to

access the fi xed income market.

Index investing is an established

and well-honed process in the

equity world. For fi xed income

investors, getting effi cient

generic or benchmark exposure

is less straightforward.

Source overview12

PIMCO Source ETFs: Key features

• Investor choice - a well-engineered range of fi xed

income products

• PIMCO expertise - direct access to world-class

portfolio management, credit research and economic

forecasting expertise

• Full transparency - investors can see what each fund

owns, on a daily basis

• Liquidity - ETFs are traded and priced throughout the day

PIMCO Source ETFs are designed to meet demand for

more than the traditional benchmark exposure. We are

focused on offering the right strategy for each market

segment, including a mix of active funds for real outperformance

and passive funds with carefully selected benchmarks:

• Active management: our actively managed funds

benefi t directly from PIMCO’s portfolio management,

credit analysis and interest rate forecasting expertise

• Better benchmarks: our passive funds may use

benchmarks such as PIMCO’s innovative, forward-

looking Global AdvantageTM indices

Rather than taking a commoditised approach, our product

range is engineered to meet specifi c investor needs. In

time, we expect the product range to cover all the major

areas of the fi xed income market, from short-term to

longer-term products, across the full spectrum of sectors

and geographies. However, in every case, we aim to offer

intelligent products that are the most appropriate solution

for that market segment.

Cash

ETF

Cash

ETF

Dividends (if any)

InvestorPurchases PIMCO Source ETFs on exchange or through market counterparty

Authorised ParticipantDelivers cash to PIMCO Source ETF

PIMCO Source ETFInvestment Advisor (PIMCO) invests in fixed income securities

Custodian / Fund AdministratorHolds securities and administers fund on behalf of PIMCO Source ETF

PIMCO Source ETF physical investment structure

Source overview 13

Delivering better commodity exposure

Source T-ETCs

Each Source T-ETC is a certifi cate which is secured with

US Treasury Bills and cash. The issuer of the certifi cates,

Source Commodity Markets PLC (Source CMP), is an

Irish-domiciled company administered by Deutsche Bank

Ireland. The US Treasury Bills and cash are held in a

segregated account with Wells Fargo acting as Portfolio

Administrator and Deutsche Bank as Trustee. The

investment return is achieved by entering into collateralised

total return swaps with approved swap counterparties.

Source T-ETCs are exchange traded certifi cates and not

funds or exchange traded funds (‘ETFs’).

Source P-ETCs

Source P-ETCs are certifi cates secured by physical

quantities of metal. The bars are held in J.P. Morgan

Chase Bank’s London vaults with Deutsche Bank as the

trustee. The vast majority of the physical metal is held in

allocated bars. Any residual value that cannot be split into

standard bars will be put into un-allocated metal. The

metal is valued daily according to the relevant London

fi xing price. The issuer of the certifi cates, Source Physical

Markets PLC (Source PMP), is an Irish-domiciled company

administered by Deutsche Bank London. Source P-ETCs

are exchange traded certifi cates and not funds or

exchange traded funds.

Source ETCs are securities

(rather than funds) that deliver

commodity exposure and are

backed by US T-Bills (T-ETC) or

by physical commodity holdings

(P-ETC).

T-Bill performance

Index performance

T-Bill performance

T-Bill & cash

Cash

SourceT-ETC

Cash

SourceT-ETC

InvestorPurchases Source T-ETCs on exchange or through market counterparty

Authorised ParticipantDelivers cash to Source CMP

Source Commodity Markets CMPInstructs US T-Bills purchase by the Portfolio Administrator

Swap counterpartySwaps total return performance of the index for T-Bill performance with Source CMP

TrusteeCustodies the T-Bills and cash in segregated ringfenced accounts

Source swap-enhanced T-ETC structure

Source overview14

Key features

Collateralisation

Source T-ETCs are secured by US Treasury Bills and cash,

which are held in a segregated account with Wells Fargo

acting as Portfolio Administrator and Deutsche Bank as

the Trustee.

Security

Source P-ETCs are secured by physical metal in the form

of allocated bars with residual positions in un-allocated

bars held in J.P. Morgan’s London vaults.

Cost

Source P-ETCs are among the most effi cient physically

secured tracking products currently on the market.

Liquidity

Source T-ETCs and P-ETCs are certifi cates and can be

created and redeemed in response to market demand.

Source T-ETCs and P-ETCs have similar liquidity

characteristics to their underlying traded commodities.

Flexibility

By using Source T-ETCs and P-ETCs on a number of

indices and physically backed products, an investor can

build or customise a range of exposures and, with intraday

liquidity, can adjust these exposures dynamically.

Transparency

Source T-ETCs and P-ETCs aim to provide the

performance of the underlying commodity. They benefi t

from a transparent cost-structure with regular updates on

benchmark constituents and weightings.

Simplicity

Source T-ETCs and P-ETCs help investors gain exposure

to commodities without the complications and costs of

either buying and managing futures positions (e.g. margin

calls, expiry and rolls) or buying and storing physical

commodities.

Accessibility

Source T-ETCs and P-ETCs are traded and settled either

OTC or on regulated stock exchanges and can be purchased

and held in standard brokerage or custodial accounts.

Cash

Source P-ETC

Physical metal or cash

Source P-ETC

Physical metal

InvestorPurchases Source P-ETCs on exchange or through market counterparty

Authorised participantDelivers physical metal or cash to the Issuer (Source PMP)

Source Physical Markets plcCustody account

receives physical metal

or portfolio administrator

uses cash proceeds to

purchase physical metal

SecurityPhysical metal secured by custodian in favour of the trustee (Deutsche Bank) on behalf of the holders of certificates

Source P-ETC structure

Source overview 15

Exposure to the global commodities market

Physically invested in US T-Bills with swap overlay

Source’s ETF structure allows effi cient tracking of the

Reference Index, while minimising counterparty risk.

The Fund invests fully in high quality securities, typically

US Treasury Bills (“T-Bills”). The Fund also enters into total

return swaps to deliver the Reference Index performance.

The swap counterparties bear the risk and cost of tracking

the component indices, resulting in lower tracking error.

The Fund will receive its index exposure from multiple

counterparties, thus diversifying the risk away from any

single counterparty Each counterparty must satisfy and

maintain predefi ned credit criteria in order to transact with

Source ETF and must also observe strict exposure limits.

In addition, any positive performance above a set

threshold is collateralised1 on a daily basis, thus minimising

exposure to any counterparty.

Counterparty risk

Through the Fund, investors are exposed to counterparty

risk resulting from the use of derivatives to provide exposure

to the index. In line with UCITS guidelines and Source

policies, the exposure to any derivative counterparty is

tightly controlled but the default of a derivative counterparty

may cause a loss to the Fund. It is recommended that

potential investors study the Fund prospectus before investing.

1 With cash, US T-Bills, UK Gilts or German government bonds.

The Source LGIM Commodity Composite UCITS ETF aims to provide

the performance of the LGIM Commodity Composite Index.

Cash and basket performance

Security basket and index performance/dividends

Basket performance

Security basket

Cash

ETF

Cash

ETF

Dividends (if any)

InvestorPurchases Source ETFs on exchange or through market counterparty

Authorised ParticipantDelivers cash to Source Markets PLC

Source Markets PLC (SMP)Investment Manager buys basket of securities and enters into total return swap

Swap counterpartySells basket of securities and enters into total return swap

Custodian/Fund Administrator Holds basket of securities & administers fund on behalf of SMP

Source Commodity ETF swap-enhanced ETF structure

Source overview16

Trading Source ETPs

Authorised participants

Buying and selling Source ETFs, T-ETCs and P-ETCs is

very simple. Exchange Traded Products (ETPs) trade and

settle as cash instruments throughout the trading day.

The primary market

The Authorised Participants have the capacity and

authority to create and redeem Source ETPs directly with

the fund or certifi cate in line with daily demand. Having

multiple Approved Dealers enables the products to trade

with maximum liquidity.

The secondary market

Source has an extensive network of Approved Dealers and

Market Makers supporting the secondary market which

ensure tight bid / offer spreads, maximum price transparency

and liquidity. Unlike the traditional view of the cash equity

markets, on-exchange turnover is not the only measure of

ETP liquidity. Depth-of-Market is equally important.

Bid / offer prices are posted by market makers for sizes in

which they can commit to execute a trade. As a result,

Source ETPs refl ect the liquidity of their underlying market.

Depending on the product, Source has up to ten Authorised

Participants whose main focus is ‘OTC’ trading and over

fi fteen Approved Dealers, who trade both OTC and/or

on-exchange.

Trading and settlement

Source ETFs, T-ETCs and P-ETCs are currently traded on

the Deutsche Börse (Xetra), the London Stock Exchange

and/or SIX Swiss Exchange. Source ETFs, T-ETCs and

P-ETCs settle through Clearstream, Euroclear and CREST.

Source contact information

Call us on +44 (0)20 3370 1100

Email us at [email protected]

Visit our website www.source.info

Trading partners

To invest in Source ETPs please contact your local broker.

You will fi nd Source’s trading partners listed on the right.

For further information, please contact Source directly.

How to trade Source ETPs

Bank of America

Merrill Lynch

Marcus Miholich / Jorge Soltero

T. +44 (0)20 7996 1034

E. [email protected]

Goldman Sachs Ben Reuter / Marijn van Diessen

T. +44 (0)20 7552 1256

T. +44 (0)20 7552 3788


J.P. Morgan Cyril Dosmond

T. +44 (0)20 7742 4276


Morgan Stanley Dorcas Phillips / Jason Warr

T. +44 (0)20 7425 6362


Nomura Patrick Houel / Tariq Khalifa

T. +44 (0)20 7103 4493

T. +44 (0)20 7103 5629


18

Approved dealers

Virtu Financial

(Offi cial Market Maker

& AP for fi xed income

products and Source

P-ETCs)

Christiaan Scholtes / Bo Bjurgert

T. +44 (0)207 861 9887



Flow Traders



products and Gold

P-ETC)

Soufi ane Jbara / Christian Oetterich

T. +31 (0)20 799 6777

[email protected] owtraders.com

Goldenberg

Hehmeyer



products)

Stephen Jordan

T. +44 (0)20 7390 3457


Bluefi n Europe

(AP for fi xed income

products)

Lee Williams

T. +44 (0)20 7509 7059

E. source@bluefi ntrading.com

Citigroup

(AP for LGIM

Commodity Composite

ETF)

Sharon Duah / Peter McIntyre

T. +44 (0)20 7986 1855

T. +44 (0)20 7986 8839



Jane Street


products)

Chris Foxon / Ian Schaad

T. +44 (0)20 3100 3400


KCG


products)

Aidan Hsu

T. +44 (0)20 7997 2072


UBS

(AP for Man GLG

Europe Plus Source

ETF)

Chris Neale

T. +44 (0)20 7568 8416


ABN Amro Sharma de Wilde / Michael Mooijer

T. +31 2038 36609 /+31 2038 36607


Baader Bank Christian Grabbe

T. +49 (0) 69 1388 1191


Banca IMI Pietro Fiocchi

T. +39 (0)2 7261 5781

E. pietro.fi [email protected]

Commerzbank Frank Mohr / Andreas Bartels /

Martina Schröttle

T. +49 (0)69 136 22088


Credit Suisse Keith Shea

T. +44 (0)20 7888 3999


DekaBank Martin Velten

T. +49 (0)69 7147 7777


Exane BNP Paribas ETF Sales Trading

T. +44 20 7595 1414


HSBC Stephane Labidurie / Loic Lebrun

T. +44 (0)20 7991 1374


Jefferies Zubin Ramdarshan / Nicola Santoni

T. +44 (0)20 7898 7372 /

+44 (0)20 7898 7374


Natixis Sandrine Guirao / Isira Perera

T. +33 (0)1 5855 8318

T. +33 (0)1 5855 8411


Newedge Antoine Delassus / Arnaud Picard

Tel:+33 (0)1 55 07 36 41 /

+33 (0)1 55 07 23 91

Email: [email protected]

Email: [email protected]

Optiver Maarten Botman

T. +31 (0)20 708 7820


RBS Pablo De Mattos

T. +44 (0)20 7678 9218


UniCredit Paolo Giulianini

T. +44 (0)20 7826 6921


How to trade Source ETPs 19

Source products in detail

ETF ticker Index ticker ETF info

Exchange Bloomberg

Bloomberg

(INAV) Reuters ISIN Bloomberg Mgmnt fee

Base / Trading

currency Replication method

Global Exposure

Goldman Sachs Equity

Factor Index WorldLSE

EFIW LN EFIWIN EFIW.L IE00BFG1RG61 GSRPEXWN 0.65% USD / USD Physical with swap overlay

EFIS LN EFISIN EFIS.L IE00BFG1RG61 GSRPEXWN 0.65% USD / GBP Physical with swap overlay

MSCI WorldLSE MXWO LN INMXWO MXWO.L IE00B60SX394 NDDUWI 0.45% USD / USD Physical with swap overlay

XETRA SMSWLD GR SMSWLDIN SMSWLD.DE IE00B60SX394 NDDUWI 0.45% USD / EUR Physical with swap overlay

Nomura Modelled PERI LSE PERI LN PERIIN PERI.L IE00B988TC33 NMQPERIN 0.30% USD / USD Physical with swap overlay

Asia Exposure

Man GLG Asia Plus LSE MPAS LN INMPAS MPAS.L IE00BCRYLF04 GLGAXJPL 0.95% USD / USD Physical with swap overlay

MSCI JapanLSE MXJP LN INMXJP MXJP.L IE00B60SX287 NDDUJN 0.40% USD / USD Physical with swap overlay

XETRA SMSJPN GR SMSJPNIN SMSJPN.DE IE00B60SX287 NDDUJN 0.40% USD / EUR Physical with swap overlay

Emerging Market Exposure

FTSE Emerging EMEA 40 LSE EM40 LN EM40IN EM40.L IE00B646J647 EMEA40CU 0.60% USD / USD Physical with swap overlay

CSOP Source FTSE China A50 LSECHNA LN CHNAIN CHNA.L IE00BGSHB123 XIN9I 0.99% RMB / USD Physical

CHNP LN CHNPIN CHNP.L IE00BGSHB123 XIN9I 0.99% RMB / GBP Physical

MSCI China LSE MXCS LN INMXCS MXCS.L IE00B4LXWX21 NDEUCHF 0.65% USD / USD Physical with swap overlay

MSCI Emerging Markets

LSE MXFS LN INMXFS MXFS.L IE00B3DWVS88 NDUEEGF 0.45% USD / USD Physical with swap overlay

SIX MXFS SW INMXFS MXFS.S IE00B3DWVS88 NDUEEGF 0.45% USD / USD Physical with swap overlay

XETRA EMSM GR EMSMIN EMSM.DE DE000A1JM6G3 NDUEEGF 0.45% USD / EUR Physical with swap overlay

RDX LSE RDXS LN RDXSIN RDXS.L IE00B5NDLN01 RDXUSD 0.65% USD / USD Physical with swap overlay

US Exposure

MSCI USA

LSE MXUS LN INMXUS MXUS.L IE00B60SX170 NDDUUS 0.30% USD / USD Physical with swap overlay

SIX MXUS SW INMXUS MXUS.S IE00B60SX170 NDDUUS 0.30% USD / USD Physical with swap overlay

XETRA SMSUSA GR SMSUSAIN SMSUSA.DE IE00B60SX170 NDDUUS 0.30% USD / EUR Physical with swap overlay

Russell 2000®LSE RTYS LN INRTYS RTYS.L IE00B60SX402 RU20INTR 0.45% USD / USD Physical with swap overlay

XETRA SR2000 GR SR2000IN SR2000.DE IE00B60SX402 RU20INTR 0.45% USD / EUR Physical with swap overlay

S&P 500

LSE SPXS LN SPXSIN SPXS.L IE00B3YCGJ38 SPTR500N 0.20% USD / USD Physical with swap overlay

SIX SPXS SW SPXSIN SPXS.S IE00B3YCGJ38 SPTR500N 0.20% USD / USD Physical with swap overlay

XETRA P500 GR P500IN P500.DE DE000A1JM6F5 SPTR500N 0.20% USD / EUR Physical with swap overlay

US Sector Exposure

Consumer DiscretionaryLSE XLYS LN XLYSIN XLYS.L IE00B449XP68 SPSUCDN 0.30% USD / USD Physical with swap overlay

SIX XLYS SW XLYSIN XLYS.S IE00B449XP68 SPSUCDN 0.30% USD / USD Physical with swap overlay

Consumer StaplesLSE XLPS LN XLPSIN XLPS.L IE00B435BG20 SPSUCSN 0.30% USD / USD Physical with swap overlay

SIX XLPS SW XLPSIN XLPS.S IE00B435BG20 SPSUCSN 0.30% USD / USD Physical with swap overlay

EnergyLSE XLES LN XLESIN XLES.L IE00B435CG94 SPSUEN 0.30% USD / USD Physical with swap overlay

SIX XLES SW XLESIN XLES.S IE00B435CG94 SPSUEN 0.30% USD / USD Physical with swap overlay

FinancialsLSE

XLFS LN XLFSIN XLFS.L IE00B42Q4896 SPSUFN 0.30% USD / USD Physical with swap overlay

XLFQ LN INXLFQ XLFQ.L IE00B42Q4896 SPSUFN 0.30% USD / GBP Physical with swap overlay

SIX XLFS SW XLFSIN XLFS.S IE00B42Q4896 SPSUFN 0.30% USD / USD Physical with swap overlay

Health CareLSE XLVS LN XLVSIN XLVS.L IE00B3WMTH43 SPSUHCN 0.30% USD / USD Physical with swap overlay

SIX XLVS SW XLVSIN XLVS.S IE00B3WMTH43 SPSUHCN 0.30% USD / USD Physical with swap overlay

IndustrialsLSE XLIS LN XLISIN XLIS.L IE00B3YC1100 SPSUIN 0.30% USD / USD Physical with swap overlay

SIX XLIS SW XLISIN XLIS.S IE00B3YC1100 SPSUIN 0.30% USD / USD Physical with swap overlay

MaterialsLSE XLBS LN XLBSIN XLBS.L IE00B3XM3R14 SPSUMN 0.30% USD / USD Physical with swap overlay

SIX XLBS SW XLBSIN XLBS.S IE00B3XM3R14 SPSUMN 0.30% USD / USD Physical with swap overlay

TechnologyLSE

XLKS LN XLKSIN XLKS.L IE00B3VSSL01 SPSUTN 0.30% USD / USD Physical with swap overlay

XLKQ LN INXLKQ XLKQ.L IE00B3VSSL01 SPSUTN 0.30% USD / GBP Physical with swap overlay

SIX XLKS SW XLKSIN XLKS.S IE00B3VSSL01 SPSUTN 0.30% USD / USD Physical with swap overlay

UtilitiesLSE XLUS LN XLUSIN XLUS.L IE00B3VPKB53 SPSUUN 0.30% USD / USD Physical with swap overlay

SIX XLUS SW XLUSIN XLUS.S IE00B3VPKB53 SPSUUN 0.30% USD / USD Physical with swap overlay

How to trade Source ETPs20


Exchange Bloomberg

Bloomberg

(INAV) Reuters ISIN Bloomberg

Mgmnt

fee

Base / Trading


US Energy Infrastructure

Morningstar US Energy

Infrastructure MLP

LSE

MLPS LN INMLPS MLPS.L IE00B94ZB998 MSMLPCT 0.50% USD / USD Physical with swap overlay

MLPQ LN INMLPQ MLPQ.L IE00B94ZB998 MSMLPCT 0.50% USD / GBP Physical with swap overlay

SIX MLPS SW INMLPS MLPS.S IE00B94ZB998 MSMLPCT 0.50% USD / USD Physical with swap overlay

Morningstar US Energy

Infrastructure MLP (Distr.)

LSE

MLPD LN INMLPD MLPD.L IE00B8CJW150 MSMLPCT 0.50% USD / USD Physical with swap overlay

MLPP LN INMLPP MLPP.L IE00B8CJW150 MSMLPCT 0.50% USD / GBP Physical with swap overlay

SIX MLPD SW INMLPD MLPD.S IE00B8CJW150 MSMLPCT 0.50% USD / USD Physical with swap overlay

European Exposure

Euro STOXX 50® XETRA SDJE50 GR SDJE50IN SDJE50.DE IE00B60SWX25 SX5T 0.15% EUR / EUR Physical with swap overlay

Euro STOXX 50® Distributing XETRA SDJE5D GR SDJE5DIN SDJE5D.DE IE00B5B5TG76 SX5T 0.15% EUR / EUR Physical with swap overlay

FTSE 100 LSE S100 LN S100IN S100.L IE00B60SWT88 TUKXG 0.20% GBP / GBP Physical with swap overlay

FTSE 250 LSE S250 LN S250IN S250.L IE00B60SWV01 FTPTT250 0.25% GBP / GBP Physical with swap overlay

Man GLG Europe Plus

LSE MPFE LN INMPFS MPFE.L IE00B59D1459 GLGEURPL 0.75% EUR / GBP Physical with swap overlay

SIX MPFE SW INMPFE MPFE.S IE00B59D1459 GLGEURPL 0.75% EUR / EUR Physical with swap overlay

XETRA MPFE GR INMPFE MPFE.DE IE00B59D1459 GLGEURPL 0.75% EUR / EUR Physical with swap overlay

Man GLG Continental

Europe Plus (GBP)LSE MPCE LN INMPCE MPCE.L IE00BCRYLD89 GLGEUXPL 0.75% GBP / GBP Physical with swap overlay

Man GLG Continental

Europe Plus (EUR)LSE MPCX LN INMPCX MPCX.L IE00BGDWP215 GLGEUXPE 0.75% GBP / EUR Physical with swap overlay

MSCI Europe XETRA SMSEUR GR SMSEURIN SMSEUR.DE IE00B60SWY32 MSDEE15N 0.30% EUR / EUR Physical with swap overlay

MSCI Europe Value XETRA EMSV GR EMSVIN EMSV.DE IE00B3LK4Z20 MSVEUNTR 0.35% EUR / EUR Physical with swap overlay

STOXX® Europe 600 XETRA SDJ600 GR SDJ600IN SDJ600.DE IE00B60SWW18 SXXR 0.19% EUR / EUR Physical with swap overlay

European Small/Mid Cap Exposure

STOXX® Europe Mid 200 XETRA SDJMID GR SDJMIDIN SDJMID.DE IE00B60SX063 MCXR 0.35% EUR / EUR Physical with swap overlay

STOXX® Europe Small 200 XETRA SDJSML GR SDJSMLIN SDJSML.DE IE00B60SWZ49 SCXR 0.35% EUR / EUR Physical with swap overlay

European Optimised Sector Exposure

EURO STOXX® Opt. Banks XETRA S7XE GR S7XEIN S7XE.DE IE00B3Q19T94 SXO7T 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Autos XETRA XAPS GR XAPSIN XAPS.DE IE00B5NLX835 SXOAR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Banks

LSE X7PS LN X7PSIN X7PS.L IE00B5MTWD60 SXO7R 0.30% EUR / EUR Physical with swap overlay

XETRA X7PS GR X7PSIN X7PS.DE IE00B5MTWD60 SXO7R 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Chemicals XETRA X4PS GR X4PSIN X4PS.DE IE00B5MTY077 SXO4R 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Construction XETRA XOPS GR XOPSIN XOPS.DE IE00B5MTY309 SXOOR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Financials XETRA XFPS GR XFPSIN XFPS.DE IE00B5MTYK77 SXOFR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Food & Bev XETRA X3PS GR X3PSIN X3PS.DE IE00B5MTYL84 SXO3R 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Health Care XETRA XDPS GR XDPSIN XDPS.DE IE00B5MJYY16 SXODR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Household XETRA XQPS GR XQPSIN XQPS.DE IE00B5MTZ595 SXOQR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Industrials XETRA XNPS GR XNPSIN XNPS.DE IE00B5MJYX09 SXONR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Insurance XETRA XIPS GR XIPSIN XIPS.DE IE00B5MTXJ97 SXOIR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Media XETRA XMPS GR XMPSIN XMPS.DE IE00B5MTZ488 SXOMR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Oil & Gas XETRA XEPS GR XEPSIN XEPS.DE IE00B5MTWH09 SXOER 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Resources XETRA XPPS GR XPPSIN XPPS.DE IE00B5MTWY73 SXOPR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Retail XETRA XRPS GR XRPSIN XRPS.DE IE00B5MTZM66 SXORR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Technology XETRA X8PS GR X8PSIN X8PS.DE IE00B5MTWZ80 SXO8R 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Telecoms XETRA XKPS GR XKPSIN XKPS.DE IE00B5MJYB88 SXOKR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Travel XETRA XTPS GR XTPSIN XTPS.DE IE00B5MJYC95 SXOTR 0.30% EUR / EUR Physical with swap overlay

STOXX® Europe 600 Opt. Utilities XETRA X6PS GR X6PSIN X6PS.DE IE00B5MTXK03 SXO6R 0.30% EUR / EUR Physical with swap overlay



Exchange Bloomberg

Bloomberg


Base / Trading


J.P. Morgan Macro Hedge US TRLSE

MHUU LN INMHUU MHUU.L IE00B3P1F038 JPMZMHUT 0.25% USD / USD Equities with swap overlay

MHUE LN INMHUE MHUE.L IE00B3P1F038 JPMZMHUT 0.25% USD / EUR Equities with swap overlay

SIX MHUU SW INMHUU MHUU.S IE00B3P1F038 JPMZMHUT 0.25% USD / USD Equities with swap overlay

J.P. Morgan Macro Hedge Dual TRLSE

MHDU LN MHDUIN MHDU.L IE00B675BN95 JPMZMHHT 0.25% EUR / EUR Equities with swap overlay

MHDX LN MHDXIN MHDX.L IE00B675BN95 JPMZMHHT 0.25% EUR / USD Equities with swap overlay

SIX MHDU SW MHDUIN MHDU.S IE00B675BN95 JPMZMHHT 0.25% EUR / EUR Equities with swap overlay

Nomura Voltage Mid-Term

LSE VOLT LN VOLTIN VOLT.L IE00B3LK4075 NMEDVMU3 0.30% USD / USD Equities with swap overlay

SIX VOLT SW VOLTIN VOLT.S IE00B3LK4075 NMEDVMU3 0.30% USD / USD Equities with swap overlay

XETRA NVLT GR NVLTIN NVLT.DE DE000A1JQQZ6 NMEDVMU3 0.30% USD / EUR Equities with swap overlay

Nomura Voltage Short-Term LSE VOLS LN VOLSIN VOLS.L IE00B3M09679 NMEDVSU3 0.30% USD / USD Equities with swap overlay

S&P 500 VIX Futures LSE VIXS LN VIXSIN VIXS.L IE00B46HPB89 SPVIXSTR 0.60% USD / USD Equities with swap overlay


Exchange Bloomberg

Bloomberg


Base / Trading


PIMCO Covered Bond XETRA COVR GY INCOVR COVR.DE IE00BF8HV717 BEA3TREU 0.38% EUR / EUR Physical

PIMCO EM AdvantageLSE

EMLB LN INEMLB EMLB.L IE00B4P11460 EMAD 0.60% USD / USD Physical

EMLP LN INEMLP EMLP.L IE00B4P11460 EMAD 0.60% USD / GBP Physical

SIX EMLB SW INEMLB EMLB.S IE00B4P11460 EMAD 0.60% USD / USD Physical

PIMCO EM Advantage (Distributing) LSE EMLI LN INEMLI EMLI.L IE00BH3X8336 EMAD 0.60% USD / USD Physical

PIMCO Euro Government Bond Index XETRA PJS2 GY PJS2IN PJS2.DE IE00B5VJLZ27 PGLAEGTR 0.30% EUR / EUR Physical

PIMCO Euro Short Maturity XETRA PJS1 GY PJS1IN PJS1.DE IE00B5ZR2157 EMTSDEO 0.35% EUR / EUR Physical

PIMCO German Government

Bond IndexXETRA BUND GY INBUND BUND.DE IE00B87LHK09 QW3A 0.15% EUR / EUR Physical

PIMCO Short-Term HY

Corporate Bond

LSE

STHY LN INSTHY STHY.L IE00B7N3YW49 HUCD 0.55% USD / USD Physical

SSHY LN INSSHY SSHY.L IE00B7N3YW49 HUCD 0.55% USD / GBP Physical

SIX STHY SW INSTHY STHY.S IE00B7N3YW49 HUCD 0.55% USD / USD Physical

PIMCO Short-Term HY Corporate

Bond (EUR Hedged)

LSE STHE LN INSTHE STHE.L IE00BF8HV600 HUCE 0.60% USD / EUR Physical

SIX STHE SW INSTHE STHE.S IE00BF8HV600 HUCE 0.60% USD / EUR Physical

PIMCO Sterling Short Maturity LSE QUID LN QUIDIN QUID.L IE00B622SG73 L3BP 0.35% GBP / GBP Physical

PIMCO USD Short Maturity LSE MINT LN INMINT MINT.L IE00B67B7N93 SBMMTB3 0.35% USD / USD Physical


Exchange Bloomberg

Bloomberg


Base / Trading


Diversifi ed Commodity Exposure

LGIM Commodity Composite LSELGCU LN LGCUIN LGCU.L IE00B4TXPP71 TGPLGCC 0.40% USD / USD US Treasury Bills with swap overlay

LGCF LN LGCFIN LGCF.L IE00B4TXPP71 TGPLGCC 0.40% USD / GBP US Treasury Bills with swap overlay

Physical

ETC ticker Index ticker ETC info

Exchange Bloomberg Reuters ISIN Bloomberg Fixed fee

Base / Trading


Source Physical Gold

LSESGLD LN SGLD.L IE00B579F325 GOLDLNPM 0.29% USD / USD Physical

SGLP LN SGLP.L IE00B579F325 GOLDLNPM 0.29% USD / GBP Physical

SIX SGLD SW SGLD.S IE00B579F325 GOLDLNPM 0.29% USD / USD Physical

XETRA 8PSG GR 8PSG.DE DE000A1MECS1 GOLDLNPM 0.29% USD / EUR Physical

Source Physical Palladium LSE SPAL LN SPAL.L IE00B4LJS984 PLDMLNPM 0.39% USD / USD Physical

Source Physical Platinum LSE SPPT LN SPPT.L IE00B40QP990 PLTMLNPM 0.39% USD / USD Physical

Source Physical Silver LSE SSLV LN SSLV.L IE00B43VDT70 SLVRLN 0.39% USD / USD Physical

How to trade Source ETPs22

ETC ticker Index ticker ETC info

Exchange Bloomberg Reuters ISIN Bloomberg Fixed fee

Base / Trading


Commodity Sector Exposure

S&P GSCITM Agriculture TR

SIX SFARM SW SFARM.S XS0417183406 SPGSAGTR 0.49% USD / USD US Treasury Bills with swap overlay

XETRA SFARM GR SFARM.DE XS0417183406 SPGSAGTR 0.49% USD / EUR US Treasury Bills with swap overlay

S&P GSCITM Energy TR

SIX SENERG SW SENERG.S XS0417135695 SPGSENTR 0.49% USD / USD US Treasury Bills with swap overlay

XETRA SENERGY GR SENERGY.DE XS0417135695 SPGSENTR 0.49% USD / EUR US Treasury Bills with swap overlay

S&P GSCITM Industrial Metals TR

SIX SIMETL SW SIMETL.S XS0417130381 SPGSINTR 0.49% USD / USD US Treasury Bills with swap overlay

XETRA SIMETL GR SIMETL.DE XS0417130381 SPGSINTR 0.49% USD / EUR US Treasury Bills with swap overlay

Individual Commodity Exposure

S&P GSCITM Brent Crude Oil

Enhanced TRSIX BOIL SW BOILS.S XS0766094972 SGECBRTR 0.49% USD / USD US Treasury Bills with swap overlay

S&P GSCITM Copper TR

SIX SCOPP SW SCOPP.S XS0470829432 SPGSICTR 0.49% USD / USD US Treasury Bills with swap overlay

XETRA SCOPP GR SCOPP.DE XS0470829432 SPGSICTR 0.49% USD / EUR US Treasury Bills with swap overlay

S&P GSCITM Crude Oil

Enhanced TR

SIX SEWTI SW SEWTI.S XS0454792184 SGESCLTR 0.49% USD / USD US Treasury Bills with swap overlay

XETRA SEWTI GR SEWTI.DE XS0454792184 SGESCLTR 0.49% USD / EUR US Treasury Bills with swap overlay

S&P GSCITM Gold TR XETRA SGOLD GR SGOLD.DE XS0417127916 SPGSGCTR 0.49% USD / EUR US Treasury Bills with swap overlay


Important information and risks

Investors in Source products should note that the value of your investment

may go down as well as up. As a result you may not get back the amount of

capital you invest.

Key ETF disclaimer Information

This booklet of ETF factsheets contains a short summary description of the

above mentioned funds (each a “Fund”) and is for discussion purposes only. This

brochure is not for distribution to, or for the attention of, US or Canadian

persons. The prospectus and KIID documenting the issue of shares by the Fund

can be downloaded from www.source.info.

Without limitation, this brochure does not constitute an offer or a recommendation

to enter into any transaction. When making an investment decision, you should

rely solely on the fi nal documentation and any prospectus relating to the

transaction and not this summary. Investment strategies involve numerous risks.

Investors should consult their own business, tax, legal and accounting advisors

with respect to a purchase of shares and you should refrain from entering into a

transaction unless you have fully understood the associated risks and have

independently determined that the transaction is appropriate for you. In no way

should Source UK Services Limited (“Source”) be deemed to be holding itself out

as a fi nancial adviser or a fi duciary of the recipient hereof.

Risk factors

The investments of the Fund in securities are subject to normal market

fl uctuations and other risks inherent in investing in securities. The value of

investments and the income from them, and therefore the value of and income

from shares relating to each Fund can go down as well as up and an investor

may not get back the amount invested. Changes in exchange rates between

currencies or the conversion from one currency to another may also cause the

value of the investments to diminish or increase. Due to charges which may be

payable on the shares, an investment in shares in the Fund should be viewed as

medium to long term. An investment in a Fund should not constitute a substantial

proportion of an investment portfolio and may not be appropriate for all investors.

There is no assurance that any Fund will achieve its investment objective. As a

Fund whose target performance is linked to a reference index will often be invested

in securities which differ from the constituents of the index and derivative

techniques will be used to achieve the performance. While the prudent use of

such derivatives can be benefi cial, derivatives also involve risks which, in certain

cases, can be greater than the risks presented by investing directly in the

constituents of the index.

Index disclaimers

The EURO STOXX® Select Dividend 30 index and its related trademarks are

proprietary to STOXX Limited. The EURO STOXX® Select Dividend 30 index and

the related trademarks have been licensed for certain purposes by Source. The

EURO STOXX® Select Dividend 30 Source ETF is not sponsored, sold, endorsed

or promoted by STOXX Limited.

The EURO STOXX 50® index and its related trademarks are proprietary to

STOXX Limited. The EURO STOXX 50® index and the related trademarks have

been licensed for certain purposes by Source. The EURO STOXX 50® Source

ETF is not sponsored, sold, endorsed or promoted by STOXX Limited.

The STOXX Europe 50® index and its related trademarks are proprietary to

STOXX Limited. The STOXX Europe 50® index and the related trademarks have

been licensed for certain purposes by Source. The STOXX Europe 50® Source


The STOXX® Europe 600 index and its related trademarks are proprietary to

STOXX Limited. The STOXX® Europe 600 index and the related trademarks have

been licensed for certain purposes by Source. The STOXX® Europe 600 Source


The STOXX® Europe Small 200 index and its related trademarks are proprietary

to STOXX Limited. The STOXX® Europe Small 200 index and the related trademarks

have been licensed for certain purposes by Source. The STOXX® Europe Small

200 Source ETF is not sponsored, sold, endorsed or promoted by STOXX Limited.

The STOXX® Europe Mid 200 index and its related trademarks are proprietary to

STOXX Limited. The STOXX® Europe Mid 200 index and the related trademarks

have been licensed for certain purposes by Source. The STOXX® Europe Mid

200 Source ETF is not sponsored, sold, endorsed or promoted by STOXX Limited.

“FTSE” is a trademark of the London Stock Exchange Plc and The Financial

Times Limited and is used by FTSE International Limited (“FTSE”) under licence.

Source is licensed by FTSE to redistribute the FTSE® 100. All rights in and to the

FTSE 100 vest in FTSE and/or its licensors. All information is provided for

reference only. Neither FTSE nor its licensors shall be responsible for any error or

omission in the FTSE® 100.



Source is licensed by FTSE to redistribute the FTSE® 250. All rights in and to the

FTSE 100 vest in FTSE and/or its licensors. All information is provided for

reference only. Neither FTSE nor its licensors shall be responsible for any error or

omission in the FTSE® 250.



Source UK Services Limited is licensed by FTSE to redistribute the FTSE

Emerging EMEA 40 Index. All rights in and to the FTSE Emerging EMEA 40 Index

vest in FTSE and/or its licensors. All information is provided for reference only.

Neither FTSE nor its licensors shall be responsible for any error or omission in the

FTSE Emerging EMEA 40 Index.

The funds or securities referred to herein are not sponsored, endorsed, or

promoted by MSCI, and MSCI bears no liability with respect to any such funds or

securities or any index on which such funds or securities are based. The

prospectus contains a more detailed description of the limited relationship MSCI

has with Source and any related funds.

The Russian Depositary Index is a securities index calculated and published by

Weiner Börse AG (“WBAG”). Russian Depositary Index® and RDX® are registered

trademarks of WBAG and have been licensed for use by Source. The mentioned

ETF is not sponsored, endorsed, sold or promoted by WBAG or its affi liates, and

WBAG and its affi liates make no representation, warranty or condition regarding

the advisability of buying, selling or holding units/shares in such ETF.

The Russell 2000® Index is a trademark of Frank Russell Company and has

been licensed for use by Source. The Product(s) is/are not sponsored, endorsed,

sold or promoted by Frank Russell Company and Frank Russell Company makes

no representation regarding the advisability of investing in the Product. Russell

Investment Group is the source and owner of the trademarks, service marked

and copyrights related to the Russell Indexes. Russell® is a trademark of Russell

Investment Group.

The STOXX® Europe Optimised indices and related trademarks are proprietary

to STOXX Limited and have been licensed for certain purposes by Source. The

Important information and risks24


Funds tracking the STOXX® Europe Optimised indices are not sponsored, sold,

endorsed or promoted by STOXX Limited and have been licensed for use by Source.

Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s

Financial Services LLC (“S&P”) and have been licensed for use by Source. The

Source ETFs are not sponsored, endorsed, sold or promoted by S&P or its affi liates,

and S&P and its affi liates make no representation, warranty or condition regarding

the advisability of buying, selling or holding units/shares in the Source ETFs.

The Reference Index is calculated under licence from GLG Partners LP (“GLG”).

Man GLG Europe Plus Index® is a registered trade mark of GLG and has been

licensed for use by Source. GLG, a member of the Man Group plc, does not approve,

endorse, sponsor, market or recommend Source or the Fund. Data relating to the

Reference Index is for information purposes only and should not be used or

considered as an offer or a solicitation to sell or buy the securities comprising the

Reference Index. No representation, warranty or condition, express or implied,

statutory or otherwise, as to veracity, condition, satisfactory quality, performance

or fi tness for purpose are given or assumed by GLG in respect of the Reference

Index or any data included in it or the use by any person or entity of the

Reference Index or that data and all those representations, warranties and

conditions are excluded save to the extent that such exclusion is prohibited by

law. GLG shall have no liability or responsibility to any person or entity for any

loss, damages (whether direct, special, punitive, indirect, consequential or

otherwise), costs, lost profi ts, charges, expenses or other liabilities whether

caused by the negligence of GLG or otherwise, even if notifi ed of the possibility

of such liabilities, arising in connection with the use of the Reference Index. GLG

is responsible for determining the composition of the Reference Index. There is

no requirement for GLG to take into account the needs of the Fund or shareholders

of the Fund in determining the composition of the Reference Index. GLG’s names

and logos and all related trademarks and other intellectual property are the

property of GLG and cannot be used without the prior written permission of GLG.

The Reference Index is administered and calculated by Markit, a leading global

index provider. Markit is a fi nancial information services company with more than

1,100 employees in Europe, North America and Asia-Pacifi c. Markit makes no

representation and expressly disclaims all warranties of accuracy, merchantability

or fi tness for a particular purpose or use with respect to the Reference Index or

any data included therein, or any data from which it is based or as to results to

be obtained from the use of the Reference Index. Markit does not sponsor,

endorse, sell, or promote any investment fund or other vehicle that is offered by

GLG Partners LP or any of its affi liates or third parties that seeks to provide an

investment return based on the returns of the Reference Index. For more

information on Markit, see www.markit.com.

Key Alternative ETF disclaimer information

This brochure contains a short summary description of the above mentioned ETF

(the “Fund”) and is for discussion purposes only. This brochure is not for

distribution to, or for the attention of, US or Canadian persons. The prospectus

and KIID documenting the issue of shares by the Fund can be downloaded from

www.source.info.





The use of volatility products or products which incorporate exposure to volatility

as part of an investor’s portfolio is complex and requires sophisticated analysis.

For example and as noted below, in the event of a protracted period of contango,

the performance of the Fund may be adversely affected. Unsophisticated investors

should not invest in this product without consulting their own business, tax, legal

and accounting advisors with respect to a purchase of shares and should refrain

from entering into a transaction unless they have fully understood the associated

risks and have independently determined that the transaction is appropriate for

them. In no way should Source UK Services Limited (“Source”) be deemed to be

holding itself out as a fi nancial adviser or a fi duciary of the recipient hereof.

Risk factors

The investments of the Fund in securities are subject to risks inherent in investing

in securities. The value of shares relating to each Fund can go down as well as

up and an investor may not get back the amount invested. Changes in exchange

rates between currencies or the conversion from one currency to another may

also cause the value of the investments to diminish or increase. An investment in

a Fund should not constitute a substantial proportion of an investment portfolio

and may not be appropriate for all investors.

There is no assurance that the Fund will achieve its investment objective. As a

Fund whose target performance is linked to a reference index will often be

invested in securities which differ from the constituents of the index, derivative

techniques will be used to achieve the performance. While the prudent use of

such derivatives can be benefi cial, derivatives also involve risks which, in certain

cases, can be greater than the risks presented by investing directly in the

constituents of the reference index.

Risks related to commodity indices

The Fund is an index-linked Fund and the amount payable in respect of the Fund

depends upon, among other things, the performance of the Reference Index.

Through its exposure to the commodity indices, the Reference Index is calculated

by reference to the prices of certain commodity contracts and is therefore subject

to many of the risks of direct investment in commodities. In addition to general

economic and other factors, the commodity markets are subject to temporary

distortions or other disruptions due to the various factors, including changes in

supply and demand, the lack of liquidity in those markets, speculation and

government regulation and intervention, any of which may increase the risk of

price volatility. Commodity futures markets are subject to regulations that limit the

amount of fl uctuation in prices that may occur during a single business day.

Commodities are also subject to changes in regulation that may affect their price

or liquidity, reduced liquidity of underlying contracts may affect the level of the

Reference Index or require changes to their components of methodology.

“Rolling” and its impact on the performance of a futures index

The S&P 500 VIX Short-Term Futures Total Return Index (the ‘Reference Index’)

replicates an actual investment in futures contracts, where futures contracts that

are nearing expiration are sold and longer-dated contracts are bought. This

process is known as “rolling” and has an impact on the performance of the

Index. When the price of the futures contract in the fi rst delivery month (which is

sold) is greater than the price of the futures contract in the second delivery month

(which is bought), the market for such contracts is referred to as being in

“backwardation”. A period of backwardation will have a positive impact on the

performance of the Reference Index. When the price of the futures contract in the

fi rst delivery is lower than the price of the futures contract in the second delivery

month, the market for such contracts is referred to as being in “contango”. There

have been periods of time when there has been consistent and/or signifi cant

contango, and the process of rolling futures has had a strongly negative impact

on the performance of the Reference Index.

Interest rates

The value of the Reference Index incorporates interest accrual on the notional

value of the Reference Index, based on the 3-month US Treasury Rate. A

decrease in the relevant rate of interest will adversely impact the value of the

Reference Index and, therefore, the value of the shares in the fund.

25

Index disclaimers

Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s

Financial Services LLC (“S&P”) and have been licensed for use by Source. The

Fund is not sponsored, endorsed, sold or promoted by S&P or its affi liates, and

S&P and its affi liates make no representation, warranty or condition regarding the

advisability of buying, selling or holding units/shares in the Fund.

The Bank of America Merrill Lynch Marks and the Factor Model (“Bank of

America Merrill Lynch IP”) are property of Merrill Lynch, Pierce, Fenner & Smith

Incorporated or its affi liates (“Bank of America Merrill Lynch”) and have been

licensed for use by Source. Certain trademarks and other marks (the

“Component Sponsor Marks”) are trademarks of Standard & Poor’s, a division of

The McGraw-Hill Companies, Inc. and Standard & Poor’s Financial Services LLC,

MSCI, Inc. or Frank Russell Company or any of their respective affi liates

(collectively, the “Component Sponsors”) and have been licensed for use by

Bank of America Merrill Lynch. Neither Source nor the fund are sponsored,

endorsed, passed on, recommended, sold, or promoted by Bank of America

Merrill Lynch or the Component Sponsors. Bank of America Merrill Lynch IP and

the Component Sponsor’s marks are licensed on an “as is where is” basis.

Neither Bank of America Merrill Lynch nor any of the Component Sponsors

makes any warranties including about their suitability, quality, accuracy,

timeliness, and/or completeness and have no liability in connection with their use

or the fund.

Source acknowledges that no products that have the J.P. Morgan Macro Hedege

US TR Index as their underlying interest that are issued, sold, or traded by

Source or any third party pursuant to the license from Standard & Poor’s

Financial Services LLC (“S&P”) to J.P. Morgan are to be deemed sponsored,

endorsed, sold or promoted by S&P or the Chicago Board Options Exchange,

Inc. (“CBOE”). S&P’s and CBOE’s only relationship to Source and J.P. Morgan

with respect to any such products, if any, is that CBOE has agreed that S&P may

license CBOE’s trademarks and the values of the CBOE Volatility Index® (VIX®)

(the “CBOE Values”) to J.P. Morgan. Neither S&P nor CBOE have any obligation

to take the needs of persons having an interest in any such products into

consideration in determining, composing or calculating the CBOE Values. Neither

S&P nor CBOE have any obligation or liability in connection with the

administration, marketing or trading of any such products.

Legal & General Investment Management Limited (“LGIM”) its associates,

subsidiaries and group undertakings (collectively, “Legal & General”) is not the

issuer or producer of the LGIM Commodity Composite Source ETF (the “Fund”)

and has no responsibilities, obligations or duties to any person (investor or

otherwise) and accepts no liability for any costs, losses, liabilities or expenses

arising in any manner out of or in connection with the Fund or the LGIM

Commodity Composite Index (the “Reference Index”). Without limiting the

generality of the foregoing, and to the extent permitted by law, Legal & General

shall not be liable for any loss whether direct, indirect, incidental, special or

consequential howsoever caused and on any theory of liability, whether in

contract or tort (including negligence) or otherwise, even if Legal & General had

been advised of the possibility of such loss. The Reference Index is a registered

trademark owned by LGIM and licensed for use solely by Source UK Services

Limited as the promoter of the Fund and is not for use by the owners of the

Fund, investors or other third parties. All proprietary rights in the Reference Index

are reserved by LGIM and shall remain the exclusive property of LGIM. Legal &

General does not sponsor or endorse the Fund and makes no representation or

warranty, express or implied, in connection with the Fund or the Reference Index

(including, without limitation, regarding the advisability of investing in the Fund or

the advisability of investing in securities generally or the ability of the Reference

Index to track corresponding or relative market performance or as to the quality,

accuracy, suitability or completeness of the Reference Index or any part thereof).

LGIM reserves the right to change the methods of calculation or publication, or to

cease the calculation or publication of the Reference Index, and LGIM shall not

be liable for any miscalculation of or any incorrect delayed, or interrupted publication

with respect to the Reference Index. The Reference Index is maintained and

calculated by FTSE International Limited (FTSE). FTSE does not accept any

liability for any errors or omissions in the Reference Index or underlying data.

Barclays Bank PLC and its affi liates (“Barclays”) is not the issuer or producer of

the Fund or the LGIM Commodity Composite Index and Barclays has no responsibilities,

obligations or duties to investors in the Fund. The Barclays Capital Commodity

Index Pure Beta Total Return Index is a trademark owned by Barclays Bank PLC

and licensed for use by Source Markets plc as the issuer of the Fund (the

“Issuer”). While the Issuer of the Fund, may for itself execute transaction(s) with

Barclays in or relating to the Barclays Capital Commodity Index Pure Beta Total

Return Index in connection with the Fund, investors acquire shares in the Fund

from the Issuer and investors neither acquire any interest in Barclays Capital

Commodity Index Pure Beta Total Return Index nor enter into any relationship of

any kind whatsoever with Barclays upon making an investment in the Fund. The

Fund is not sponsored, endorsed, sold or promoted by Barclays and Barclays

makes no representation regarding the advisability of the Fund or use of the

Barclays Capital Commodity Index Pure Beta Total Return Index or any data

included therein. Barclays shall not be liable in any way to the Issuer, investors or

to other third parties in respect of the use or accuracy of the Barclays Capital

Commodity Index Pure Beta Total Return Index or any data included therein.

Citigroup and any of its affi liates (“Citi”) is not the issuer or producer of the Fund

and Citi has no responsibilities, obligations or duties to any person (investor or

otherwise) in the Fund. The Citi CUBES Index Total Return (“Citi CUBES”) is a

trademark owned by Citi and licensed for use by Source Markets plc as the

issuer of the Fund. The Fund is not sponsored, endorsed, sold or promoted by

Citi and Citi makes no representation regarding the advisability of the Fund. Citi

does not guarantee the accuracy and/or uninterrupted calculation of Citi CUBES

or any data included therein. Citi makes no representation or warranty, express or

implied, (a) as to the results obtained or to be obtained by any person or entity

from the use of Citi CUBES or any data included therein; and (b) on the quality,

merchantability or fi tness for a particular purpose with respect to Citi CUBES

and/or any data included therein. Without limiting any of the foregoing, Citi shall

not be liable for any loss of profi ts or business, or any special, incidental, punitive,

indirect or consequential damages suffered or incurred as a result of the use (or

inability to use) of Citi CUBES and/or any data include therein.

The JPMCCI ex-Front Month Energy Light Index (“JPMCCI Index”) has been

licensed to Source UK Services Limited and LGIM (the “Licensees”) for the

Licensees’ benefi t. Neither the Licensee nor the Fund (the “Non-JPM Product”) is

sponsored, operated, endorsed, recommended, sold or promoted by J.P.

Morgan Securities Ltd. (“JPMSL”) or any of its affi liates (together and individually,

“JPMorgan”). JPMorgan makes no representation and gives no warranty, express

or implied, to investors in or those otherwise taking exposure to the Non-JPM

Product. Such persons should seek appropriate professional advice before

making any investment. The JPMCCI Index has been designed and is compiled,

calculated, maintained and sponsored by JPMSL without regard to the

Licensees, the Non-JPM Product or any investor. JPMSL is under no obligation

to continue compiling, calculating, maintaining or sponsoring the JPMCCI Index.

JPMorgan may independently issue or sponsor other indices or products that are

Important information and risks26


similar to and may compete with the JPMCCI Index and the Non-JPM Product.

They may also transact in assets referenced in the JPMCCI Index (or in fi nancial

instruments such as derivatives that reference those assets). These activities

could have a positive or negative effect on the value of the JPMCCI Index and

the Non-JPM Product. JPMorgan does not give any representation, warranty or

undertaking, of any type (whether express or implied, statutory or otherwise) in

relation to the JPMCCI Index, as to condition, satisfactory quality, performance or

fi tness for purpose or as to the results to be achieved by an investment in the

Non-JPM Product or any data included in or omissions from the JPMCCI Index,

or the use of the JPMCCI Index in connection with the Non-JPM Product or the

veracity, currency, completeness or accuracy of the information on which the

JPMCCI Index is based (and without limitation, JPMorgan accepts no liability to

any Investor for any errors or omissions in that information or the results of any

interruption to it and JPMorgan shall be under no obligation to advise any person

of any such error, omission or interruption). To the extent any such

representation, warranty or undertaking could be deemed to have been given by

JPMorgan, it is excluded save to the extent that such exclusion is prohibited by

law. To the fullest extent permitted by law, JPMorgan shall have no liability or

responsibility to any person or entity (including, without limitation, any Investors)

for any loss, damages, costs, charges, expenses or other liabilities howsoever

arising, including, without limitation, liability for any special, punitive, indirect or

consequential damages (including loss of business or loss of profi t, loss of time

and loss of goodwill), even if notifi ed of the possibility of the same, arising in

connection with the design, compilation, calculation, maintenance or sponsoring

of the JPMCCI Index or in connection with the Non-JPM Product.

UBS Bloomberg Constant Maturity Commodity Index

This material is for distribution only under such circumstances as may be permitted

by applicable law. It has no regard to the specifi c investment objectives, fi nancial

situation or particular needs of any recipient. It is for information purposes only

and should not be construed as an offer, recommendation or solicitation to

conclude a transaction and should not be treated as giving investment advice.

UBS makes no representation or warranty, express or implied, regarding the

appropriateness of investing in products referenced to the UBS Bloomberg

Constant Maturity Commodity Index Family (“CMCI”), commodity products in

general or of the ability of the CMCI to track commodity market performance. In

determining the constituents of the CMCI and any amendment thereto, UBS has

no obligation to consider the needs of any counterparties that have products

referenced to the CMCI. © UBS 2011. The key symbol and UBS are among the

registered and unregistered trademarks of UBS. UBS Bloomberg Constant

Maturity Commodity Index, UBS Bloomberg CMCI and CMCI are service marks

of UBS and/or Bloomberg. Other marks may be trademarks of their respective

owners. All rights reserved. UBS assumes sole responsibility for this marketing

material, which has not been reviewed by Bloomberg.

CMCI is compiled and calculated, in part, using data obtained from a number of

futures exchanges (“Exchanges”) with their permission. The Exchange’s data is

provided “as is” and without representation or warranty on their part. The

Exchanges have no involvement with and accept no responsibility for the CMCI,

its suitability as an investment or its future performance.

UBS DOES NOT GUARANTEE THE QUALITY, ACCURACY AND/OR THE

COMPLETENESS OF THE CMCI OR ANY DATA INCLUDED THEREIN AND

SHALL NOT HAVE ANY LIABILITY FOR ANY ERRORS OR OMISSION. UBS

MAKES NO WARRANTY, EXPRESS OR IMPLIED, AS TO RESULTS TO BE

OBTAINED BY OR FROM THE USE OF THE CMCI OR ANY DATA INCLUDED

THEREIN OR FOR ANY OTHER USE (WHETHER DIRECTLY OR VIA ANY

PRODUCT REFERENCED THERETO). UBS MAKES NO EXPRESS OR IMPLIED

WARRANTIES, AND TO THE EXTENT PERMITTED BY LAW HEREBY

EXPRESSLY DISCLAIMS ALL WARRANTIES OF MERCHANTABILITY OR

FITNESS FOR A PARTICULAR PURPOSE OR USE WITH RESPECT TO THE

CMCI OR ANY DATA INCLUDED THEREIN. WITHOUT LIMITING ANY OF THE

FOREGOING, TO THE EXTENT PERMITTED BY LAW UBS DISLAIMS ANY

LIABILITY FOR ANY PUNITIVE, INDIRECT, SPECIAL, OR CONSEQUENTIAL

DAMAGES (INCLUDING LOST PROFITS), EVEN IF NOTIFIED OF THE

POSSIBILITY OF SUCH.

Key Fixed Income ETF disclaimer information

This brochure contains information about the PIMCO Source ETFs product range

(each a “Fund” and collectively, the “Funds”). It is for discussion purposes only

and is not for distribution to, or for the attention of, US or Canadian persons. This

brochure is not for use within any country or with respect to any person(s) where

such use could constitute a violation of the applicable law. The relevant

prospectus (including any supplements or KIIDS thereto) documenting the issue

of shares by the Funds can be downloaded from www.source.info.

Without limitation, this brochure does not constitute an offer or a

recommendation to enter into any transaction. When making an investment

decision, an investor should rely solely on the fi nal documentation and any

prospectus relating to the transaction and not the information contained in this

brochure. Investment strategies involve numerous risks. Investors should consult

their own business, tax, legal and accounting advisors with respect to a purchase

of shares and should refrain from entering into any transaction unless they have

fully understood the associated risks and have independently determined that the

transaction is appropriate for them. In no way should Source UK Services Limited

or PIMCO Europe Limited be deemed to be holding themselves out as fi nancial

advisers or fi duciaries of the recipient hereof.

Certain features of the PIMCO European Advantage Government Bond Index are

patent pending. GLOBAL ADVANTAGE and GLADI are trademarks of Pacifi c

Investment Management Company LLC. Registered trademarks or trademarks

contained herein are the property of Pacifi c Investment Management Company

LLC and/or Allianz Global Investors of America L.P in the United States and/or

other countries.

Risk factors

The investments of the Funds in securities are subject to normal market

fl uctuations and other risks inherent in investing in securities. The value of

investments and the income from them, and therefore the value of and income

from shares relating to each Fund can go down as well as up and an investor

may not get back the amount invested. Changes in exchange rates between

currencies or the conversion from one currency to another may also cause the

value of the investments to diminish or increase. There is no assurance that any

Fund will achieve its investment objective. Past performance is not a guarantee

or a reliable indicator of future results.

The value of most bond funds and fi xed income securities are impacted by

changes in interest rates and the risk that the manager’s investment decisions

might not produce the desired results. Bonds and bond fund investments with

longer durations tend to be more sensitive and more volatile than securities with

shorter durations; bond prices generally fall as interest rates rise. The Funds may

use derivative techniques for hedging purposes or as part of its investment

strategy. While the prudent use of such derivatives can be benefi cial, use of

derivatives may involve certain costs and risks.

27


Key T-ETC disclaimer Information

This booklet of T-ETC factsheets contains a short summary description of the

above mentioned Source Treasury Bill Secured ETCs (the “T-ETCs” or the

“Certifi cates”) and is for discussion purposes only. A complete description of the

Certifi cates is set out in the prospectus of the above mentioned T-ETC. This

brochure is not for distribution to, or for the attention of, US or Canadian

persons. The Base Prospectus documenting the issue of T-ETCs can be

downloaded from www.source.info.






with respect to this proposed transaction and they should refrain from entering

into a transaction unless they have fully understood the associated risks and

have independently determined that the transaction is appropriate for them. In no

way should Source UK Services Limited (“Source”) be deemed to be holding

itself out as a fi nancial adviser or a fi duciary of the recipient hereof.

An investment in the T-ETCs involves a signifi cant degree of risk and investors

should read carefully and ensure they understand the “Risk Factors” section of the

Base Prospectus before deciding whether to invest in T-ETCs. Risks affecting an

investment include: T-ETCs are not principal protected. Past performance is not an

indication of expected performance and the investment performance of the T-ETCs

could be volatile. The T-ETCs are limited recourse obligations which are payable

solely out of the US Treasury Bills and cash allocated to the relevant series of

T-ETCs which may be insuffi cient to cover amounts which would otherwise be

payable under the T-ETCs. There can be no assurance that the continual issuance

and repurchase and the role of authorised participants or market makers will be

successful in minimising any tracking error between the price at which the T-ETCs

trade on the exchanges and their net asset value. The issuer’s ability to make

payments under the T-ETCs will depend on Wells Fargo, acting as Collateral

Administrator, being able to sell the US Treasury Bills such that it has funds to

make such payments. The commodity indices to which the T-ETCs are linked may

go down as well as up throughout the term of the T-ETCs. There can be no

assurance of future performance of such commodity indices. The commodity

indices replicate an actual investment in commodity contracts and therefore are

affected by the need to “roll” the commodity contracts included in such index. As

the contracts included in the commodity indices approach expiration, they are sold

and contracts with a later expiration are purchased. This is known as “rolling”. If the

price of the contracts being sold is higher than that of the contracts being

purchased (a situation known as “contango”) and spot prices remain unchanged,

this could result in negative performance of the relevant commodity index which

could adversely affect the price of the T-ETCs. Futures exchanges have the

potential to suffer from market disruption or suspension of trading. Such events

could cause a delay in settlement of any subscription, buyback and/or redemption

process for the T-ETCs which may therefore adversely affect potential or existing

holders of T-ETCs. Redemption amounts payable on the T-ETCs will be made in

cash and holders will have no right to receive delivery of any index commodity.

The derivative counterparties and their affi liates actively trade in physical

commodities and derivative instruments on a wide variety of commodities

including those that underlie the commodity indices to which T-ETCs are linked.

This trading activity could adversely affect the value of the commodity indices

and therefore the return on and the value of the T-ETCs.

The GSCI marks are trademarks of Standard & Poor’s Financial Services LLC

and have been licensed for use by Source.

Key P-ETC disclaimer information

This fact sheet contains a short summary description of the above mentioned

Source Physical Gold ETC, Source Physical Silver P-ETC, Source Physical

Platinum P-ETC and Source Physical Palladium P-ETC (the “P-ETCs” or the

“Certifi cates”) and is for discussion purposes only. A complete description of the

Certifi cates is set out in the prospectus of the above mentioned P-ETCs. This

fact sheet is not for distribution to, or for the attention of, US or Canadian

persons. The Base Prospectus documenting the issue of P-ETCs can be

downloadable from www.source.info.

Without limitation, this fact sheet does not constitute an offer or a recommendation





with respect to this proposed transaction and they should refrain from entering

into a transaction with us unless they have fully understood the associated risks

and have independently determined that the transaction is appropriate for them.

In no way should Source UK Services Limited (“Source”) be deemed to be

holding itself out as a fi nancial adviser or a fi duciary of the recipient hereof. An

investment in the P-ETCs involves a signifi cant degree of risk and investors

should read carefully and ensure they understand the “Risk Factors” section of

the Base Prospectus before deciding whether to invest in P-ETCs. Risks affecting

an investment include: P-ETCs are not principal protected. Past performance is

not an indication of expected performance and the investment performance of

the P-ETCs could be volatile. The P-ETCs are limited recourse obligations which

are payable solely out of the metal collateral which may be insuffi cient to cover

amounts which would otherwise be payable under the P-ETCs.

There can be no assurance that the continual issuance and repurchase and the

role of authorised participants or market makers will be successful in minimising

any tracking error between the price at which the P-ETCs trade on the exchanges

and their value. The value of gold to which the P-ETCs are linked may go down

as well as up throughout the term of the P-ETCs. There can be no assurance of

future performance of such the underlying. Certifi cateholders’ only proprietary

interest in the underlying gold is through certain security interests created by the

issuer in favour of the trustee for the trustee itself and as trustee for the other

secured creditors.

This document has been communicated by Source UK Services Limited, 110

Cannon Street, London, EC4N 6EU, authorised and regulated by the Financial

Conduct Authority.

© 2014 Source UK Services Limited. All rights reserved.

March 2014

28

110 Cannon Street

London EC4N 6EU

T +44 (0)20 3370 1100

F +44 (0)20 3370 1101

E [email protected]

www.source.info

Authorised and Regulated by the Financial Conduct Authority

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