Xtrackers MSCI Innovation UCITS ETF
| Issuer: Xtrackers |
| Asset Class: Equity |
| TER: 35bps |
| Trading Currency: GBP |
| Pays Income: False |
| Listing Date: 20 Jul 2022 |
| Ticker: XNNS |
| ISIN: IE0006FFX5U1 |
This fund offers investors a way to participate in the growth of the world's most innovative companies. It is designed to track the performance of the MSCI World IMI Innovation Index, providing targeted exposure to global firms across developed markets that are at the forefront of technological and industrial change. The underlying index selects companies of all sizes—large, mid, and small-cap—that derive significant revenue from pioneering themes such as autonomous technology, industrial innovation, genomic advancements, financial technology (fintech), and next-generation internet services. This strategy provides a diversified yet focused approach to investing in secular, long-term disruptive growth trends that are reshaping the global economy.
By investing in a broad basket of forward-looking companies, the fund aims to capture the significant upside potential of innovation while mitigating the concentrated risk associated with investing in individual stocks. It is well-suited for investors with a long-term investment horizon who are seeking capital appreciation and believe that disruptive technologies will continue to be a primary driver of economic growth and market returns. The accumulating share class structure further enhances its suitability for long-term goals, as all dividend income is automatically reinvested back into the fund, harnessing the power of compounding.
This product can serve as a core thematic allocation within a well-diversified global equity portfolio, offering a strategic tilt towards high-growth potential. It appeals to investors looking to gain exposure to the key drivers of the future economy, moving beyond traditional market-cap-weighted index strategies. Due to its focus on high-growth, innovation-led companies, the investment may exhibit higher volatility compared to broader market benchmarks, making it most appropriate for investors with a moderate-to-high tolerance for risk.
