PowerShares will begin trading its new “PowerShares DB 3x Japanese Govt Bond Futures Exchange Traded Note” (NYSE:JGBT) Wednesday, March 23, 2011. The PowerShares DB 3x Japanese Govt Bond Futures Exchange Traded Note are the first exchange traded products to provide investors with leveraged exposure to the US dollar value of the returns of a Japanese bond futures index.
The PowerShares DB JGB Futures ETNs are based on the DB USD JGB Futures Index, which is intended to measure the performance of a long position in 10-year JGB Futures.
The ETNs are senior unsecured obligations issued by Deutsche Bank AG, London Branch that are linked to the month-over-month performance of the DB USD JGB Futures index.
The DB USD JGB Futures index is intended to measure the performance of a long position in 10-year JGB Futures. The underlying assets of 10-year JGB Futures are Japan-government issued debt securities (“JGBs”) with a remaining term to maturity of not less than 7 years and not more than 11 years as of their issue date and the futures contract delivery date. The returns of each ETN are obtained by combining the returns from the relevant futures index plus the returns of the TBill index, less investor fees. Investors can buy and sell the ETNs on the NYSE Arca exchange or receive cash payment at the scheduled maturity or early redemption based on the performance of the index less investor fees. The issuer has the right to redeem the ETNs at the repurchase value at any time.
For more information click: HERE