Risk considerations

Investors should note that the Xtrackers ETFs & ETCs are not capital protected or guaranteed and investors in each Xtrackers ETF or ETC should be prepared and able to sustain losses up to the total capital invested. The value of an investment in an Xtrackers ETF or ETC may go down as well as up and past performance does not predict future returns. Investment in Xtrackers ETFs or ETCs involve risks. For a list of related risks please click on the Risks and Terms tab.

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  • DWS launches four thematic Xtrackers ETFs focused on innovation drivers in future industries

DWS launches four thematic Xtrackers ETFs focused on innovation drivers in future industries

  • ETFs offer access to investment themes: fintech, genomics, and next generation internet
  • Index includes stocks unrelated to traditional sector breakdowns
  • Excludes certain stocks that do not meet ESG screening criteria 

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 1C ESG Screened focuses on companies active in mobile or digital payments, and in digital platforms, among other areas.

The Xtrackers MSCI Genomic Healthcare Innovation UCITS ETF 1C ESG Screened includes companies with activities molecular diagnostics, agricultural biotechnology and bio-informatics, among other areas.

The Xtrackers MSCI Next Generation Internet Innovation UCITS ETF 1C ESG Screened 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 1C ESG Screened 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 1C ESG Screened Xetra, LSE USD IE0006FFX5U1 XNNV 0.35
Xtrackers MSCI Next Generation Internet Innovation UCITS ETF 1C ESG Screened Xetra, LSE USD IE000XOQ9TK4 XNGI 0.35
Xtrackers MSCI Fintech Innovation UCITS ETF 1C ESG Screened Xetra, LSE USD IE000YDOORK7 XNFT 0.35
Xtrackers MSCI Genomic Healthcare Innovation UCITS ETF 1C ESG Screened Xetra, LSE USD IE000KD0BZ68 XGEN 0.35

 

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.

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