ETF Securities announced yesterday (22nd September) that it recorded small outflows from its platinum-backed exchange-traded commodities (ETCs) last week.

The London-based company confirmed that for the week to 21st September, the amount of metal backing its Physical Platinum ETC decreased by five per cent to 187,628 oz.

Although the firm also had to suspend around 100 of its ETCs associated with crisis-ridden insurers AIG last Wednesday, physically-backed ETCs were not affected.

The initial announcement of the launch of platinum ETFs in May last year caused a rash of inflows of platinum and palladium, particularly as prices were rising.

However, sentiment has decreased from peak levels and a number of investors sold large amounts of platinum, in particular, over the course of the past two months.

At the end of August, the total amounts held in the ETFs were 287,000 oz of platinum and 658,000 oz of palladium - but now ETF Securities' latest data show those figures have fallen further.

Source:

ETF Securities sees outflow from gold, platinum ETCs (22/09/08)
http://www.reuters.com/article/rbssFinancialServicesAndRealEstateNews/idUSLM59244720080922

The progress of platinum group metal exchange traded funds (ETFs) (17/09/08)
http://www.platinum.matthey.com/media_room/11642008903191.html