DWS is further increasing the attractiveness of the Xtrackers ETF range and is reducing the annual flat fees for a gold ETC and 31 equity and bond ETFs as of the beginning of December.
By ETFWorld.co.uk
Michael Mohr, Global Head of Xtrackers Products
- Fee reduction for products with a total investment volume of around ten billion euros
- Reduced fees for gold ETC, regional and sectoral equity ETFs and ETFs on various bond segments
- Fees reduced by up to 0.4 percentage points
DWS is further increasing the attractiveness of the Xtrackers range and is reducing the annual flat fees for a gold ETC and 31 equity and bond ETFs as of the beginning of December. The reductions are related to the ongoing optimisation and forward-looking orientation of the broad Xtrackers product family. Overall, the flat fees for Xtrackers products with a current investment volume of around ten billion euros will be reduced.
In the case of Xtrackers IE Physical Gold ETC Securities, which allows investors to participate in the performance of gold, the fee will be reduced from 0.12% to 0.11%. The ETC currently manages around 2.8 billion euros. In view of increased geopolitical risks, investor interest in gold investment products has risen again in recent weeks.
The largest equity ETF for which the fee has been reduced is the EUR 1.8 billion Xtrackers MSCI Japan UCITS ETF 1C (from 0.20% to 0.12%). Other examples of significantly reduced flat fees for equity ETFs are Xtrackers MSCI Brazil UCITS ETF 1C (from 0.65% to 0.25%) and Xtrackers MSCI Korea UCITS ETF 1C (0.65% to 0.45%), which invest in emerging markets.
The largest bond ETFs with a fee reduction are the Xtrackers II Eurozone Government Bond UCITS ETF 1C (from 0.15% to 0.09%) and the Xtrackers II US Treasuries UCITS ETF 1D (from 0.07% to 0.06%), each with a fund volume of more than one billion euros. The Xtrackers II ESG Global Aggregate Bond UCITS ETF 5C EUR Hedged tracks a broad bond benchmark, while the Xtrackers II USD Overnight Rate Swap UCITS ETF 1C provides access to the US dollar money market rate. For both of the latter products, the flat fee will fall from 0.15% to 0.10%.
“Competitive fees as well as efficient index tracking and liquid exchange trading are the basis for the success of Xtrackers ETFs with investors. We are therefore constantly reviewing where we can facilitate permanent fee reductions in order to provide attractive access to markets,” says Michael Mohr, Global Head of Xtrackers Products.
Product Table
The table consists of a selection of discounted ETFs and the gold ETC. Included are products with an investment volume of more than 100 million euros or ETFs whose fee has been reduced by more than ten basis points.
| ETF | TER p.a. old | TER p.a. new | ISIN | Ticker |
| Xtrackers IE Physical Gold ETC Securities | 0,12% | 0,11% | DE000A2T0VU5 | XGDU |
| Xtrackers MSCI Japan UCITS ETF 1C | 0,20% | 0,12% | LU0274209740 | XMJP |
| Xtrackers II Eurozone Government Bond UCITS ETF 1C | 0,15% | 0,09% | LU0290355717 | XGLE |
| Xtrackers II US Treasuries UCITS ETF 1D | 0,07% | 0,06% | LU0429459356 | XUTD |
| Xtrackers MSCI Brazil UCITS ETF 1C | 0,65% | 0,25% | LU0292109344 | XMBR |
| Xtrackers MSCI Japan UCITS ETF 7C CHF Hedged | 0,40% | 0,25% | LU1215827756 | XMCJ |
| Xtrackers MSCI Korea UCITS ETF 1C | 0,65% | 0,45% | LU0292100046 | XMKO |
| Xtrackers MSCI World UCITS ETF 2D GBP Hedged | 0,29% | 0,17% | IE00BZ1BS790 | XDWG |
| Xtrackers Stoxx Europe 600 UCITS ETF 1D | 0,18% | 0,07% | LU2581375156 | XSX7 |
| Xtrackers MSCI Europe Health Care ESG Screened UCITS ETF 1C | 0,20% | 0,17% | LU0292103222 | DXSE |
| Xtrackers II ESG Global Aggregate Bond UCITS ETF 5C EUR Hedged | 0,15% | 0,10% | LU0942970798 | XBAE |
| Xtrackers II Global Inflation-Linked Bond UCITS ETF 1D EUR Hedged | 0,25% | 0,20% | LU0962078753 | XGII |
| Xtrackers II USD Overnight Rate Swap UCITS ETF 1C | 0,15% | 0,10% | LU0321465469 | XFFE |
| Xtrackers II US Treasuries UCITS ETF 1C | 0,07% | 0,06% | LU1920015796 | XUST |
| Xtrackers II US Treasuries 1-3 UCITS ETF 1D | 0,07% | 0,06% | LU0429458895 | XUT3 |
Source: ETFWorld.co.uk
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