SEC Pushes Back Ruling on iShares Copper ETF
December 24th 2012 at 1:53pm by John Spence
The Securities and Exchange Commission has delayed ruling on whether BlackRock’s (NYSE: BLK) iShares can move ahead with an ETF that would hold physical copper after recently approving a similar product.
Earlier this month, the regulator gave the green light to JP Morgan (NYSE: JPM) to launch a similar copper exchange traded fund. [SEC Approves JP Morgan Copper ETF]
The SEC said it would rule on the iShares copper product by Feb. 22, according to media reports Monday.
“Approval for the iShares Copper Trust was widely expected following the SEC’s approval a week ago for JPMorgan Chase’s JPM XF Physical Copper Trust,” the Financial Times said.
The physical copper ETFs have faced opposition from consumers and producers who say the products could lead to supply shortages and artificially inflate the commodity’s price.
An attorney representing a consortium of fabricators in a Reuters report Monday said he will decide whether to appeal the ruling on the JPMorgan XF Physical Copper Trust once he has analyzed the SEC’s findings.
“I think there are grounds to appeal,” Robert Bernstein, an attorney with the law firm Eaton & Van Winkle LLP, said in the article.
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