UBS ETF MSCI Switzerland 20/35 UCITS ETF Hedged to GBP
| Issuer: UBS |
| Asset Class: Equity |
| TER: 23bps |
| Trading Currency: GBX |
| Pays Income: False |
| Listing Date: 11 Jun 2015 |
| Ticker: UC93 |
| ISIN: LU1169830525 |
This fund provides targeted exposure to the Swiss equity market, offering a strategic allocation to one of the world's most stable and innovative economies. Switzerland is renowned for its political neutrality, strong currency, and highly skilled workforce, which fosters an environment for globally competitive companies. An investment in this fund allows for participation in the success of leading Swiss corporations, which are often market leaders in high-value sectors such as pharmaceuticals, biotechnology, financial services, and high-end manufacturing. It serves as an efficient tool for investors looking to diversify their European holdings with a focus on a high-quality, developed market known for its long-term economic resilience.
The underlying portfolio is composed of large and mid-capitalization Swiss companies, dominated by multinational giants in defensive sectors like healthcare and consumer staples. Names such as Nestlé, Roche, and Novartis typically represent a significant portion of the index, providing a core of stability and consistent performance. The '20/35' constraint in the index methodology ensures compliance with UCITS diversification rules, preventing any single company from exceeding a 35% weight and other large holdings from collectively dominating the fund. This structure offers broad yet balanced access to the key drivers of the Swiss economy.
This particular share class is designed for investors whose base currency is not the Swiss franc and who wish to mitigate currency risk. By hedging the portfolio's Swiss franc exposure, it aims to neutralize the impact of exchange rate fluctuations, thereby delivering a return that more closely reflects the performance of the underlying Swiss stocks. This makes it an attractive option for those seeking pure equity exposure to Switzerland without the added layer of currency volatility, ideal for a core, long-term holding in a diversified global portfolio.
