UBS ETF (LU) MSCI Japan UCITS ETF (hedged to USD) A-acc

Issuer: UBS
Asset Class: Equity
TER: 23
Trading Currency: USD
Pays Income: False
Listing Date: 06 Mar 2026
Ticker: MJPU
ISIN: LU3254394912
This investment vehicle offers a targeted approach to the Japanese equity market, specifically designed for investors looking to minimize currency risk. It provides exposure to a broad basket of large and mid-sized Japanese companies, aiming to replicate the performance of a benchmark that represents approximately 85% of the country's stock market capitalization. The key feature is its currency-hedging mechanism, which seeks to neutralize the impact of exchange rate fluctuations between the Japanese Yen and the US Dollar. This makes it a suitable option for dollar-based investors who want their returns to reflect the performance of the underlying Japanese assets, rather than being influenced by the volatile foreign exchange market.

The fund grants access to a diverse range of sectors that form the backbone of Japan's highly developed and export-oriented economy. Holdings are spread across key industries such as industrials, consumer discretionary, information technology, financials, and healthcare, featuring many globally recognized corporate brands. This built-in diversification helps to mitigate company-specific risk. As an accumulating fund, any dividends paid by the constituent companies are automatically reinvested, allowing for the potential of compounding returns over the long term, which aligns with a growth-oriented investment strategy.

By employing a full physical replication strategy, the fund holds the actual stocks of the index it tracks, offering a high degree of transparency and a straightforward structure. This instrument is well-suited for those looking to build a core, long-term position in one of the world's major economic powers. It can act as a strategic component within a broader, globally allocated portfolio, providing efficient and cost-effective access to the Japanese market while actively managing the currency variable.