XTrackers DAX UCITS ETF 1C
| Issuer: Xtrackers |
| Asset Class: Equity |
| TER: 900bps |
| Trading Currency: GBX |
| Pays Income: False |
| Listing Date: 21 Sep 2017 |
| Ticker: XDAX |
| ISIN: LU0274211480 |
This fund offers targeted exposure to the German equity market by tracking the performance of the 40 largest and most-traded companies listed on the Frankfurt Stock Exchange. It serves as a core investment vehicle for accessing Germany's economy, the largest in Europe. The underlying index is comprised of blue-chip companies that are leaders in their respective global industries, including automotive, industrial engineering, software, and chemicals. By investing in this product, individuals gain a diversified holding in these prominent corporations, effectively capturing the performance of Germany's most influential businesses in a single, efficient transaction.
The investment strategy is based on direct, physical replication, meaning the fund holds the actual shares of the companies in the index, offering a high degree of transparency. As a capitalising fund, any dividends paid out by the constituent companies are automatically reinvested back into the fund. This approach promotes long-term capital growth through the power of compounding and can be tax-efficient for investors in certain jurisdictions, as it avoids regular dividend income events. Its low-cost structure makes it an attractive tool for building a long-term, strategic allocation to European developed market equities.
This instrument is well-suited for investors seeking a foundational holding in their portfolio to represent the German market. It can be used for long-term strategic asset allocation or for shorter-term tactical plays based on an investor's outlook on the German economy. The inherent diversification across multiple key sectors provides a degree of risk mitigation compared to single-stock picking, while the focus on established, large-cap companies offers a direct link to the pulse of German and global corporate health.
The investment strategy is based on direct, physical replication, meaning the fund holds the actual shares of the companies in the index, offering a high degree of transparency. As a capitalising fund, any dividends paid out by the constituent companies are automatically reinvested back into the fund. This approach promotes long-term capital growth through the power of compounding and can be tax-efficient for investors in certain jurisdictions, as it avoids regular dividend income events. Its low-cost structure makes it an attractive tool for building a long-term, strategic allocation to European developed market equities.
This instrument is well-suited for investors seeking a foundational holding in their portfolio to represent the German market. It can be used for long-term strategic asset allocation or for shorter-term tactical plays based on an investor's outlook on the German economy. The inherent diversification across multiple key sectors provides a degree of risk mitigation compared to single-stock picking, while the focus on established, large-cap companies offers a direct link to the pulse of German and global corporate health.