WisdomTree Newsletter 27 Nov 2024
Welcome to the 24th issue of WisdomTree's newsletter. In this issue, we feature two of our latest product launches: The WisdomTree Physical XRP ETP and the WisdomTree Global Efficient Core UCITS ETF. Additionally, we will share our latest insights, resources and podcasts.
??Product news
New Crypto ETP: WisdomTree launches Physical XRP ETP
We’re excited to announce the launch of the WisdomTree Physical XRP ETP, now listed on B?rse Xetra, SIX Swiss Exchange, and Euronext Paris and Amsterdam.
The WisdomTree Physical XRP ETP offers a simple, secure, and low-cost way to gain exposure to XRP, one of the largest cryptocurrencies by market capitalisation. Backed 100% by XRP, XRPW is the lowest-priced XRP ETP in Europe, providing direct spot price exposure. Key features of XRPW:
? 100% physically backed by XRP, secured in cold storage.
? Institutional-grade, dual custody model with regulated custodians.
? Lowest-cost XRP ETP in Europe.
Visit our strategy page here.
WisdomTree Global Efficient Core UCITS ETF: A new standard in capital efficiency
We are thrilled to expand our Efficient Core range with the launch of the WisdomTree Global Efficient Core UCITS ETF (NTSG). This ETF provides a leveraged 60:40 portfolio, combining 90% exposure to developed market large-cap equities with 60% exposure to global government bond futures. Now listed on B?rse Xetra and Borsa Italiana, with the London Stock Exchange listing following tomorrow. Key features of NTSG:
? Enhances risk-adjusted returns through an equity and fixed income blend.
? Offers a capital-efficient structure, creating space for diversifiers and alternative
strategies.
? Total expense ratio (TER) of 0.25%.
To learn more about our strategy, visit our dedicated page here.
????Thought Leadership
The Global Edge: Cut to the chase
We are excited to share the latest edition of The Global Edge: “Cut to the Chase”. This insightful paper explores key themes shaping markets, including central bank rate cuts, inflation dynamics, and the market implications of the recent US elections. Dive into expert analysis and actionable perspectives from our global research team. Explore the full paper here.
Silver Outlook to Q3 2025: Silver marching toward a 14-year high
Silver is marching toward a 14-year high! 2024 has been historic for silver, with prices up 43% YTD. From its role in clean energy to strong gold correlation, silver is shining brighter than ever. Discover the drivers behind this rally and our forecast for $40/oz by Q3 2025 here.
European Monthly Thematic Update - October 2024
After strong performance in September, most themes posted negative returns in October. Only eight themes achieved positive returns, and 18 themes outperformed the MSCI ACWI which declined by 2.2% over the month. Read the full report here.
???Latest Insights
AI wins big at the Nobel Prizes: A new era of opportunity for investors
For the first time, advancements in artificial intelligence (AI) have earned Nobel Prizes in both chemistry and physics, marking a historic moment that underscores AI’s transformative impact across disciplines. These milestones highlight AI's expanding role in science, from revolutionising protein structure prediction to pioneering methods for machine learning. This blog delves into how these breakthroughs redefine scientific and societal progress, offering forward-thinking investors a unique opportunity to engage with the next wave of AI-driven innovation. Read the article here.
Bitcoin: Expectations remain high for the rest of 2024
Year to date, 2024 has been a remarkable year for bitcoin, with record flows and record price highs. Bitcoin also went through its fourth halving event. While bitcoin price change is lagging what we have seen post earlier halving events, investors should remain patient. This is because the fourth halving event has had the smallest impact on bitcoin supply. If bitcoin price starts going up, it is likely to lift others too. Read the article here.
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Looking back at equity factors in Q3 2024 with WisdomTree
The equity rally continued unabated across geographies in Q3 2024. However, we observed a clear rotation in the leading factors, sectors and even individual stocks, with High Dividend and Minimal Volatility taking the lead at the expense of growth, quality and momentum. This blog aims to shed further light on that rotation, on how equity factors behaved during this third quarter and how this may have impacted investors’ portfolios. Read the article here.
???Podcasts
President Trump's victory and its ripple effects on commodities | The Commodity Exchange
In this episode of The Commodity Exchange, Nitesh Shah and Mobeen Tahir, CFA are joined by Judith Henke, Editor, Investment and Markets team, Handelsblatt. Together they discuss the outcome of the US elections and the effect President Trump's victory has had across commodity markets.
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Thematic outlook: AI, Biotech, Clean Energy, and investment insights for 2025 | The Next Big Thing
In this episode of The Next Big Thing, join Chris and Mobeen Tahir, CFA as they delve into the latest megatrends shaping the investment landscape. Learn about the transformative impact of AI on hashtag#biotech, the resurgence of cleanenergy investments, and the evolving dynamics of the electricvehicle market. Discover the macroeconomic factors influencing these sectors.
The power of open money: How crypto can transform global trade | Crypto Clarified
In this episode of Crypto Clarified, Ben sits down with Nikhil Chandhok, a seasoned tech innovator with a rich background at Google, YouTube, and Meta, now CPO at Circle. They delve into the transformative potential of cryptocurrencies, particularly stablecoins like USDC, in revolutionizing global trade. Nikhil shares his journey from the early days of the internet to his current mission of advancing open money. Discover how crypto can reduce transaction costs, eliminate inefficiencies, and empower individuals and businesses worldwide. Tune in to explore the future of digital assets and their impact on the global economy.
?? Market Commentary
Aluminium prices rally as China removes tax rebates
Aluminium prices on the London Metals Exchange have rallied in recent days after China announced that it is removing an export tax rebate.? The move is likely to reduce Chinese aluminium exports, thus restricting global supply. Export tax rebates have also been removed for copper and lowered for some refined oil, solar, battery and non-metallic mineral products. The authorities have not stated a reason for the decision, but it appears China is preparing for likely higher tariffs under a Trump Administration.
European gas markets bracing for another disruption
Markets are fearing that Russian gas flows to Europe will fall further after the Austrian energy group, OMV won an arbitral award against Gazprom, the Russian gas giant. OMV said that the arbitral award of EUR 230 million (plus interest and costs) will be offset with immediate effect against payments to be made to Gazprom Export. This creates the risk of supplies being disrupted, as Gazprom could stop supplying gas if it is not being paid. OMV has acknowledged this risk and has tried to reassure the market it has “extensive diversification measures” in place. On 1st January 2025, a major contract for the transit of Russian gas through Ukraine will end, which could remove half of the remaining pipeline gas exports from Russia to the European Union.
To find out more, visit our tactical trading centre here.
Thank you for reading our latest newsletter.
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This material is prepared by WisdomTree and its affiliates and is not intended to be relied upon as a forecast, research or investment advice, and is not a recommendation, offer or solicitation to buy or sell any securities or to adopt any investment strategy. The opinions expressed are as of the date of production and may change as subsequent conditions vary. The information and opinions contained in this material are derived from proprietary and non-proprietary sources. As such, no warranty of accuracy or reliability is given and no responsibility arising in any other way for errors and omissions (including responsibility to any person by reason of negligence) is accepted by WisdomTree, nor any affiliate, nor any of their officers, employees or agents. Reliance upon information in this material is at the sole discretion of the reader. Past performance is not a reliable indicator of future performance.