DWS has launched four Xtrackers ETFs that provide investors with exposure to innovation drivers in the fintech, genomics and next generation internet sectors. Eschewing traditional sector classifications, the ETF’s underlying indices select stocks that have significant exposure to technological innovation in their respective focus areas. Underlying stocks consist of large, medium and small-capitalisation companies from both developed and emerging markets, with the weighting of a security in the index dependent on market capitalisation and the stock’s relevance, as measured by revenues generated from selected investment themes. The maximum weighting of each issuer is limited to 4.5 percent and is adjusted quarterly.
The Xtrackers MSCI Fintech Innovation UCITS ETF focuses on companies active in mobile or digital payments, and in digital platforms, among other areas.
The Xtrackers MSCI Genomic Healthcare Innovation UCITS ETF includes companies with activities molecular diagnostics, agricultural biotechnology and bio-informatics, among other areas.
The Xtrackers MSCI Next Generation Internet Innovation UCITS ETF aims to track an index including companies with a focus on areas such as cloud computing, the ‘internet of things’ (the mass networking of devices), machine learning, social media and artificial intelligence.
Finally, the Xtrackers MSCI Innovation UCITS ETF is a single product composed of all three themes plus the theme of autonomous technology and industrial innovation.
The ETFs listed on XETRA on July 19th, 2022, and on the London Stock Exchange on July 20th, 2022.
The indices tracked by the ETFs also follow MSCI’s ESG Screened methodology. As such, companies that exceed certain turnover thresholds in areas such as tobacco, fossil fuels and weapons manufacturing, companies that have an MSCI ESG rating of "CCC", and companies involved in controversial or nuclear weapons are excluded.
"We are seeing a lot of interest from investors in thematic ETFs as they are an efficient way to capture the growth potential of individual investment trends. Some segments of the economy have seen rapid technological development, particularly in recent years. We aim to make the drivers of these innovations accessible to investors with these new Xtrackers ETFs," says Simon Klein, Global Head of Passive Sales at DWS.
Product Table
| ETF Name | Exchange | Fund Currency | ISIN | Bloomberg Ticker | Annual All-in Fee (%) |
|---|---|---|---|---|---|
| Xtrackers MSCI Innovation UCITS ETF | Xetra, LSE | USD | IE0006FFX5U1 | XNNV | 0.35 |
| Xtrackers MSCI Next Generation Internet Innovation UCITS ETF | Xetra, LSE | USD | IE000XOQ9TK4 | XNGI | 0.35 |
| Xtrackers MSCI Fintech Innovation UCITS ETF | Xetra, LSE | USD | IE000YDOORK7 | XNFT | 0.35 |
| Xtrackers MSCI Genomic Healthcare Innovation UCITS ETF | Xetra, LSE | USD | IE000KD0BZ68 | XGEN | 0.35 |
About DWS Group
DWS Group (DWS) is one of the world's leading asset managers with EUR 902bn of assets under management (as of 31 March 2022). Building on more than 60 years of experience, it has a reputation for excellence in Germany, Europe, the Americas and Asia. DWS is recognized by clients globally as a trusted source for integrated investment solutions, stability and innovation across a full spectrum of investment disciplines.
We offer individuals and institutions access to our strong investment capabilities across all major liquid and illiquid asset classes as well as solutions aligned to growth trends. Our diverse expertise in Active, Passive and Alternatives asset management – as well as our deep environmental, social and governance focus – complement each other when creating targeted solutions for our clients. Our expertise and on-the-ground knowledge of our economists, research analysts and investment professionals are brought together in one consistent global CIO View, giving strategic guidance to our investment approach.
DWS wants to innovate and shape the future of investing. We understand that, both as a corporate as well as a trusted advisor to our clients, we have a crucial role in helping navigate the transition to a more sustainable future. With approximately 3,600 employees in offices all over the world, we are local while being one global team. We are committed to acting on behalf of our clients and investing with their best interests at heart so that they can reach their financial goals, no matter what the future holds. With our entrepreneurial, collaborative spirit, we work every day to deliver outstanding investment results, in both good and challenging times to build the best foundation for our clients’ financial future.
Key risks
- Investors should note that the Xtrackers UCITS ETFs are not capital protected or guaranteed and investors should be prepared and able to sustain losses of the capital invested up to a total loss.
- Shares in the Xtrackers UCITS ETFs which are purchased on the secondary market cannot usually be sold directly back to the relevant fund. Investors must purchase and redeem such shares on the secondary market with the assistance of an intermediary (e.g. a market maker or a stock broker) and may incur fees for doing so (as further described in the applicable prospectus). In addition, investors may pay more than the current net asset value of a share in a Xtrackers UCITS ETF when buying shares on the secondary market, and may receive less than the current net asset value when selling such shares on the secondary market.
- Investments in funds involve numerous risks including, among others, general market risks, credit risks, foreign exchange risks, interest rate risks and liquidity risks. The value of an investment in a Xtrackers UCITS ETF may go down as well as up and investors may not get back the full amount of their original investment.
- Movements in exchange rates can impact the value of your investment. If the currency of your country of residence is different from the currency in which the underlying investments of the fund are made, the value of your investment may increase or decrease subject to movements in exchange rates.
- For a full description of risk factors, please refer to the relevant prospectus.
Important Notice
This press release has been issued in the UK and approved by DWS Investments UK Limited. DWS Investments UK Limited is authorised and regulated by the Financial Conduct Authority.
Any reference to “DWS” shall, unless otherwise required by the context, be understood as a reference to DWS Investments UK Limited including any of its parent companies, any of its or its parents affiliates or subsidiaries and, as the case may be, any investment companies promoted or managed by any of those entities.
Past performance does not predict future returns.
Xtrackers UCITS ETFs are all ETFs of one of the following platforms: Xtrackers, Xtrackers II or Xtrackers (IE) plc.
Xtrackers, Xtrackers II and Xtrackers (IE) plc are undertakings for collective investment in transferable securities (UCITS) in accordance with the applicable laws and regulations and set up as open-ended investment companies with variable capital and segregated liability between their respective compartments.
Xtrackers and Xtrackers II are incorporated in the Grand Duchy of Luxembourg, are registered with the Luxembourg Trade and Companies’ Register under number B-119.899 (Xtrackers) and B-124.284 (Xtrackers II) respectively and have their registered office at 49, avenue J.F. Kennedy, L-1855 Luxembourg. Xtrackers (IE) plc is incorporated in Ireland with registered number 393802 and has its registered office at 78 Sir John Rogerson’s Quay, Dublin 2, Ireland.
DWS Investment S.A. acts as the management company of Xtrackers, Xtrackers II and Xtrackers (IE) plc.
This document is intended as marketing communication. This information is for informational purposes only and does not constitute investment advice, recommendation, an offer or solicitation. Any investment decision in relation to any Xtrackers ETFs should be based solely on the latest version of the prospectus, the audited annual and, if more recent, un-audited semi-annual reports and the Key Investor Information Document (KIID), all of which are available in English upon request or on www.Xtrackers.com. In the case of any inconsistency with the prospectus, the latest version of the prospectus shall prevail.
A summary of investor rights is available at www.etf.dws.com under “About Us – How to Complain?”.
© DWS Investments UK Limited 2022.