DWS Xtrackers : has further expanded its range of exchange-traded funds (ETFs) tracking MSCI Select ESG (environmental, social and governance) Screened indices while also cutting fees on certain products.
- Six more Xtrackers ETFs switch to MSCI Select ESG Screened indices
- Product fee cuts also implemented as ESG suite continues to expand
- Product name changes reflecting new index exposures also implemented
Yesterday (October 20, 2021), six Xtrackers ETFs switched their underlying index.
Xtrackers MSCI World High Dividend Yield UCITS ETF has switched to become Xtrackers MSCI World ESG Screened UCITS ETF. Its annual all-in fee (total expense ratio) moves from 0.29% to 0.19%. Xtrackers Russell Midcap UCITS ETF is now Xtrackers MSCI USA ESG Screened UCITS ETF, with its annual all-in fee moving from 0.35% to 0.07%. Xtrackers MSCI Europe Mid Cap UCITS ETF switches to become Xtrackers MSCI Europe ESG Screened UCITS ETF. Its annual all-in fee falls from 0.25% to 0.12%. Xtrackers MSCI EMU Minimum Volatility UCITS ETF has become Xtrackers MSCI EMU ESG Screened UCITS ETF, with its annual all-in fee also falling from 0.25% to 0.12%. Xtrackers MSCI AC World UCITS ETF is now Xtrackers MSCI AC World ESG Screened UCITS ETF. Its annual all-in fee remains constant at 0.25%.
Finally, Xtrackers JPX-Nikkei 400 UCITS ETF, which has four share classes, has become Xtrackers MSCI Japan ESG Screened UCITS ETF. The 0.20% annual all-in fee on the 1D share class moves from 0.20% to 0.15%, with the annual all-in fee on the GBP-hedged (2D), EUR-hedged (3C) and USD-hedged (4C) share classes falling from 0.30% to 0.25%. (See product table for summary).
The latest expansion of the Xtrackers ESG suite follows the completion last month of a programme converting nine existing Europe equity sector Xtrackers ETFs to MSCI Select ESG Screened underlying indices, with corresponding product name changes. The ETFs harness MSCI’s ESG research processes and combine the index provider’s established ESG screened methodology with additional filtering for conventional weapons and other areas while also removing the worst ESG ‘laggards’1 in terms of MSCI’s ESG rating system.
“This ambitious programme of switches, alongside fee cuts on certain ETFs to keep them as competitive as possible, creates an extensive range of Xtrackers ESG ETFs which we are confident will be well received by the investment community,” said Michael Mohr, DWS Head of Passive Products.
| Old Xtrackers ETF Name | Share Class | New Xtrackers ETF name | Old Annual All-in Fee | New Annual All-in Fee |
| Xtrackers MSCI World High Dividend Yield UCITS ETF | 1D | Xtrackers MSCI World ESG Screened UCITS ETF | 0.29% | 0.19% |
| Xtrackers Russell Midcap UCITS ETF | 1C | Xtrackers MSCI USA ESG Screened UCITS ETF | 0.35% | 0.07% |
| Xtrackers MSCI Europe Mid Cap UCITS ETF | 1C | Xtrackers MSCI Europe ESG Screened UCITS ETF | 0.25% | 0.12% |
| Xtrackers JPX-Nikkei 400 UCITS ETF | 1D | Xtrackers MSCI Japan ESG Screened UCITS ETF | 0.20% | 0.15% |
| Xtrackers JPX-Nikkei 400 UCITS ETF | 2D – GBP Hedged | Xtrackers MSCI Japan ESG Screened UCITS ETF | 0.30% | 0.25% |
| Xtrackers JPX-Nikkei 400 UCITS ETF | 3C – EUR Hedged | Xtrackers MSCI Japan ESG Screened UCITS ETF | 0.30% | 0.25% |
| Xtrackers JPX-Nikkei 400 UCITS ETF | 4C – USD Hedged | Xtrackers MSCI Japan ESG Screened UCITS ETF | 0.30% | 0.25% |
| Xtrackers MSCI EMU Minimum Volatility UCITS ETF | 1D | Xtrackers MSCI EMU ESG Screened UCITS ETF | 0.25% | 0.12% |
| Xtrackers MSCI AC World UCITS ETF | 1C | Xtrackers MSCI AC World ESG Screened UCITS ETF | 0.25% | 0.25% |
Source: ETFWorld.co.uk
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