.jpg)
As the Copenhagen Summit discusses the worldwide reduction of carbon emissions and investors increasingly demand carbon related products, Saxo Bank, the Copenhagen-based specialist in online trading and investment, today launches its first CFD product based on the price of ECX EUA carbon emissions.
With the average British citizen emitting approximately 5 metric tonnes of emissions annually on heating, electricity, cars and flights, Saxo Bank will offer investors the opportunity to trade in emissions starting at the equivalent of 25 metric tonnes.
Commenting on the launch, Claus Nielsen, Head of Markets at Saxo Bank: "The price of carbon emissions plunged from €30 a tonne in July 2008 to just €8 at beginning of 2009 as the recession hit across Europe and thus slowed the industrial production. In the last 6 months the price has been ranging between €12 and €16 and investors are therefore increasingly looking to be long on carbon.”
Nielsen continued, "The new carbon emission CFD will provide investors with increased transparency into the cost and price of carbon emissions. If an agreement is reached in Copenhagen to reduce global carbon emissions it will make European allowances more valuable to investors and we want our clients to be able to benefit from this."
Saxo Bank already offers a broad range of commodities like Gold, Silver, Copper, Coffee, Cocoa, Sugar, Corn, Wheat, Soybeans, Gasoil, Heating Oil, Natural Gas and Crude Oil. All of them are tradable as CFDs. “We launched many of our CFDs on Commodities over the summer and have since then seen a fantastic interest and trade volume in these contracts,” Nielsen added.
