iShares MSCI WORLD ESG SCREENED UCITS USD ETF (ACC)
| Issuer: iShares |
| Asset Class: Equity |
| TER: 20bps |
| Trading Currency: USD |
| Pays Income: False |
| Listing Date: 23 Oct 2018 |
| Ticker: SAWD |
| ISIN: IE00BFNM3J75 |
This investment product offers broad exposure to a diverse portfolio of large and mid-capitalization companies across developed economies worldwide. It is designed to closely track the performance of the MSCI World Index, a widely recognized benchmark for global equity markets. By investing in this single vehicle, an individual can gain instant diversification across thousands of individual stocks, spanning numerous sectors and geographic regions, including North America, Europe, and Asia. This comprehensive coverage makes it a popular foundational or 'core' holding for many long-term investment portfolios, aiming to capture the growth potential of the global economy in a single, efficient transaction.
The fund employs a physical replication strategy, meaning it directly holds the underlying shares of the companies that constitute the index. This approach provides a high degree of transparency and can mitigate counterparty risks sometimes associated with synthetic replication methods. As an accumulating share class, any dividends paid out by the constituent companies are automatically reinvested back into the fund. This process harnesses the power of compounding returns over the long term and simplifies portfolio management, making it particularly suitable for investors focused on growth objectives.
This instrument is well-suited for investors with a long-term horizon who are seeking capital appreciation through a diversified, low-cost approach to global equity investing. It can serve as the central building block of a portfolio, which can then be supplemented with more targeted investments in specific regions, themes, or asset classes to align with an investor's unique risk tolerance and financial goals. The extensive diversification helps to mitigate the concentration risk inherent in holding individual stocks or focusing on a single country.