The world’s first oil-backed exchange traded fund (EFT) is due to be listed on the London Stock Exchange at the end of the month, providing an investment vehicle that closely tracks the oil price without having to trade in the futures market or buy oil company shares.

Oil Securities, a company controlled by Graham Tuckwell – who set up the world’s first gold-backed ETF in Australia in 2003 – plans to list at least one oil security on July 28 in London, and may list two funds, depending on interest from investor roadshows over the next two weeks.