XTrackers JPX-Nikkei 400 UCITS ETF 1D

Issuer: Xtrackers

Asset Class: Equity

TER: 15bps

Trading Currency: GBX

Pays Income: False

Listing Date: 14 Aug 2015

Ticker: XDNS

ISIN: IE00BPVLQD13

This investment vehicle offers exposure to the Japanese equity market by tracking the performance of the JPX-Nikkei 400 Net Total Return Index. The index is composed of 400 common stocks listed on the Tokyo Stock Exchange, selected based on quantitative and qualitative factors. Unlike traditional market-cap-weighted indices, the selection process for this benchmark emphasizes companies with high appeal to investors, focusing on metrics such as return on equity (ROE), cumulative operating profit, and corporate governance standards. This methodology aims to identify and include companies that are deemed to be more efficient and shareholder-friendly, potentially offering a higher quality exposure to the Japanese market.

By investing in this fund, individuals gain access to a diversified portfolio of leading Japanese companies across various sectors. This approach provides a strategic allocation to one of the world's largest and most advanced economies. The focus on quality and governance may appeal to investors looking for more than just broad market exposure, seeking instead to capitalize on the strengths of Japan's most robust corporations. This can be a core holding for those seeking developed market exposure outside of North America and Europe, providing diversification benefits and a stake in the long-term growth potential of Japan's corporate sector. The fund structure allows for a convenient and cost-effective way to implement this specific Japanese equity strategy.