A year of record flow momentum as Xtrackers reaches 15-year anniversary
- Fifteen years of ETF innovation and business expansion
- Latest data demonstrates impressive increase in assets under management for Xtrackers
- Strong flows in Xtrackers ESG ETFs, affirming the strategic decision to focus on sustainability
Xtrackers by DWS has recorded another year of positive flow momentum as the exchange-traded fund (ETF) platform celebrates the 15-year anniversary of its first product listings.
Xtrackers UCITS ETFs listed in Europe and Asia recorded more than EUR 16 bn of net inflows in 2021, higher than the EUR 13.6 bn of inflows recorded the previous year. Assets under management in Xtrackers ETFs grew to EUR 154 bn at the end of 2021, while assets invested in US-listed Xtrackers (40-Act ETFs) reached EUR 21 bn. The record flow and assets under management numbers mark Xtrackers out as the most successful Europe-based ETF provider operating globally in 2021 (flow and assets under management data source: ETFGI, December 31, 2021).
"Xtrackers continues to go from strength-to-strength, and we have a number of initiatives in place to ensure 2022 builds on our already impressive flow momentum," said Simon Klein, Global Head of Passive Sales.
Xtrackers has seen strong flows from institutional investors positioning for a changing market environment, as well as from retail investors via savings plans. Xtrackers launched an innovative no-fee ETF savings plan in Germany in 2010, and has been responsible for a number of other industry firsts, such as the first direct replication, physical ETF providing exposure to China's onshore equity market in 2014 (see timeline of significant developments below).
Demand last year was especially strong for Xtrackers growing range of ESG (environmental, social and governance) ETFs. DWS offers Xtrackers ESG ETFs across various equity and fixed income segments.
More product launches are planned for this year, especially in the ESG space.
Klein added: "We will continue to be innovative and nimble in serving the needs of our clients. The trend towards low-cost passive investing still has some way to go, especially in Europe, and Xtrackers will continue to be at the forefront of that change as a leading provider of ETFs."
Xtrackers Developments Timeline
Date | Achievement |
---|---|
January 2007 | Listing of the first Xtrackers ETFs on DAX, Euro Stoxx 50 and MSCI World indices. The assets of all three ETFs have grown strongly, sitting now at a combined EUR 15.9bn (January 24, 2022, Source: DWS). |
January 2009 | Assets under management of UCITS Xtrackers ETFs reached EUR 18.6n just two years after launch, Xtrackers is the fastest growing ETF provider in Europe at this time. |
April 2010 | Xtrackers intensifies expansion of its UCITS ETF range in Asia with the listing of Xtrackers ETFs in Hong Kong and Singapore. |
July 2010 | The Xtrackers ETC (exchange-traded commodity) platform launched. Xtrackers ETCs today are physically-backed securities offering investors exposure to precious metal’s spot prices without having to trade futures or other derivatives. |
September 2010 | The first of many innovative sales initiatives of Xtrackers: no-fee ETF saving plans offered in cooperation with DAB bank in Germany. |
June 2011 | Xtrackers establishes a US business, becoming a global provider of ETFs. |
December 2013 | Xtrackers announces it will switch to become a major provider of physical replication ETFs. |
January and March 2014, respectively | Xtrackers launches the first physical ETF investing in China's on-shore equity market, and the first ETF tracking a global aggregate fixed income benchmark, covering all major bond segments., |
December 2014 | Assets under management in Xtrackers ETFs reach EUR 45bn. |
February 2017 | The launch of the Xtrackers ESG EUR Corporate Bond UCITS ETF marks the start of Xtrackers focus on ESG. Assets invested in this ETF now stand at EUR 1.7bn (January 24, 2022, Source: DWS). |
May 2018 | Xtrackers launches four ESG equity ETFs giving the opportunity to invest in Europe, USA, Japan, and a global index, following ESG criteria. The indices use extensive filtering based on MSCI ESG research. Two screening methodologies are applied to the companies in the index, one based on ESG requirements and one based on carbon emissions. |
February 2019 | Two Xtrackers thematic ETFs launched: Xtrackers Future Mobility UCITS ETF, and Xtrackers Big Data & Artificial Intelligence UCITS ETF. |
November 2019 | Another important milestone as the Xtrackers UCITS ETF platform crosses the EUR 100bn in assets under management hurdle. |
July 2021 | Xtrackers breaks new ground with UCITS ETFs referencing indices specifically designed to target green corporate bonds, providing exposure to investment grade green bonds via indices structured to meet the EU’s Article 9 Sustainable Finance Disclosure Regulation requirements. Quintet Private Bank serves as seed investor and will use the ETFs in their discretionary portfolios. |
About DWS Group
DWS Group (DWS) is one of the world's leading asset managers with EUR 928bn of assets under management (as of 31 December 2021). Building on more than 60 years of experience, it has a reputation for excellence in Germany, Europe, the Americas and Asia. DWS is recognised 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 asset classes and 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 Chief Investment Office (CIO View), which guides our investment approach strategically.
DWS wants to innovate and shape the future of investing: with approximately 3,600 employees in offices all over the world, we are local while being one global team. We are investors – entrusted to build the best foundation for our clients’ future.
Key risks
- Investors should note that the Xtrackers UCITS ETFs and ETCs 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.
- Investments in ETC securities will not accrue any interest and performance is subject to the deduction of the product fee.
- Pricing of the ETC securities on the secondary market may be at a significant discount or premium compared to the Value per ETC Security (intrinsic value) published by the Issuer. Investments in Xtrackers ETCs involve numerous risks including but not limited to, general market risks relating to the relevant commodities, exchange rate risks, interest rate risks, inflationary risks, liquidity risks, and legal and regulatory risks.
- 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 is not a guide for 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 information is intended for informational purposes only and does not constitute investment advice, recommendation, an offer or solicitation. Any investment decision in relation to an Xtrackers ETF 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.
© DWS Investments UK Limited 2022.