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DWS unveils quartet of ETFs aimed at…

DWS unveils quartet of ETFs aimed at…

DWS has launched four new thematic ETFs as part of its Xtrackers range, which will seek to capitalise on the growth of innovation in fintech, genomic healthcare and the evolution of the internet.

The four funds will cover the entire spectrum of stock sizes, while also being able to invest in both developed and emerging markets. The weightings in the strategies will depend on the stock’s relevance to the specific theme, as measured by revenue generated.

The funds in full are:

  • Xtrackers MSCI Fintech Innovation Ucits ETF, which focuses on companies active in mobile or digital payments, and in digital platforms, among other areas;
  • Xtrackers MSCI Genomic Healthcare Innovation Ucits ETF, which invests in companies active in areas such as molecular diagnostics, agricultural biotechnology and bio-informatics, among others;
  • Xtrackers MSCI Next Generation Internet Innovation Ucits ETF, which will track an index including companies with a focus on areas such as cloud computing, the ‘internet of things’ (the mass networking of devices), machine learning, social media and artificial intelligence;
  • Xtrackers MSCI Innovation Ucits ETF, which is a single product composed of all three themes plus the theme of autonomous technology and industrial innovation.

The indices tracked by the ETFs also follow MSCI’s ESG Screened methodology. As such, companies that exceed certain turnover thresholds in areas such as tobacco, fossil fuels and weapons manufacturing, companies that have an MSCI ESG rating of “CCC”, and companies involved in controversial or nuclear weapons are excluded.

Commenting on the launches, a spokesperson for DWS said there is increased interest in thematic ETFs, which are viewed as efficient ways of capturing the growth potential of individual investment trends. The ETFs listed on XETRA on 19 July and on the London Stock Exchange on 20 July.

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