UBS ETF (IE) MSCI USA UCITS ETF (Hedged to GBP) A-acc

Issuer: UBS

Asset Class: Equity

TER: 10bps

Trading Currency: GBX

Pays Income: False

Listing Date: 03 Aug 2017

Ticker: UB0A

ISIN: IE00BYQ00Y50

This investment fund provides targeted exposure to the US equity market, specifically focusing on a broad range of large and mid-capitalization companies. By physically replicating a major US stock index, it holds the underlying securities directly, offering a transparent way to invest in approximately 85% of the US public equity universe. The key feature of this particular share class is its built-in currency hedging mechanism. It is designed to mitigate the impact of fluctuations between the US dollar and the British pound, making it an appealing option for investors who wish to isolate their returns to the performance of the underlying stocks without taking on foreign exchange risk.

As a core portfolio holding, this product offers diversified access to the world's largest and most dynamic economy. The currency hedge is particularly beneficial for UK-based investors, as it helps to stabilize returns by removing the volatility associated with currency movements. The fund's accumulating structure means that any dividends paid by the constituent companies are automatically reinvested back into the fund, which can fuel compound growth over the long term. This strategy simplifies the investment process and can be more tax-efficient in certain jurisdictions. It is suitable for those with a long-term investment horizon seeking capital appreciation through broad exposure to the US market.