Future of Defence Indo-Pac ex-China UCITS ETF
| Issuer: HANetf |
| Asset Class: Equity |
| TER: 59bps |
| Trading Currency: GBX |
| Pays Income: False |
| Listing Date: 30 Jul 2025 |
| Ticker: ADEF |
| ISIN: IE000C7EUDG1 |
Geopolitical instability and rising global tensions are prompting nations worldwide to reassess their security needs and increase defence spending. This investment strategy offers exposure to companies poised to benefit from this long-term trend. The portfolio focuses on firms that are critical to the national security of the United States and its key allies. This includes established players in the traditional aerospace and defence sectors, which are involved in manufacturing advanced military hardware, aircraft, and naval vessels. These companies often have long-term government contracts, providing a degree of revenue stability and visibility.
Beyond conventional warfare, the modern threat landscape is increasingly digital. Recognizing this shift, the strategy also incorporates companies at the forefront of cybersecurity. These firms provide essential services and technologies to protect critical government and corporate infrastructure from cyberattacks, espionage, and digital threats. This dual focus on both physical and digital defence provides a comprehensive approach to investing in the future of security. By capturing a broad spectrum of the defence ecosystem, from hardware manufacturing to sophisticated software solutions, the portfolio is positioned to capitalize on the multifaceted nature of modern security challenges.
The portfolio is geographically diversified across developed markets, primarily in North America and Europe, which represent the largest and most technologically advanced defence industries. The investment thesis is built on the enduring necessity for nations to protect their sovereignty and interests, a need that translates into consistent and growing budgetary allocations for defence and security. For those looking to invest in a sector driven by structural geopolitical trends rather than cyclical economic factors, this strategy provides targeted access to the companies that form the backbone of modern national defence.
