04.03.2009 - ETF Securities: The fundamentals of oil
Below is a synopsis of the presentation:

• Total oil ETC inflows have now increased by $912mn since the beginning of November, the fastest growth and AUM since their introduction in 2005.
• Through May to July ’08 investors built large net short positions in energy – mainly with purchases of ETFS Short Crude Oil - as the oil price surged towards a peak.
• Over the past 10 years oil has tended to outperform when equity markets are falling.
• Global demand for oil is expected to increase by over 30% between 2008 and 2030. Global demand for gas is expected to increase by 50%. The recent crisis is unlikely to materially damage this long term demand.
• Combined oil and gas demand is expected to continue to make up the bulk of world energy supply in 2030 (58% vs 60% in 2008).
• Oil ETC inflows have surged since November, totalling over $900 million. Daily flows are averaging $100 million at present.

Full presentation:

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