DeAWM introduces London-listed USD-hedged MSCI Japan ETF

Sep 3rd, 2013 | By | Category: Equities

Deutsche Asset & Wealth Management (DeAWM), the investment management division of Deutsche Bank, has listed a US dollar-hedged share class for the db X-trackers MSCI Japan Index UCITS ETF (XMUJ) on the London Stock Exchange.

DeAWM introduces London-listed USD-hedged MSCI Japan ETF

DeAWM has introduced a dollar-hedged version of its London-listed MSCI Japan ETF.

The launch complements sterling and euro-hedged MSCI Japan exposures already available, which have been popular investments this year on the back of a rising Japanese stock market and weakening yen.

Manooj Mistry, Deutsche Asset & Wealth Management’s Head of Exchange Traded Products, EMEA, commented: “Playing the ‘Abenomics’ theme has been one of the most significant asset allocation trends we’ve seen this year. But to fully take advantage of the trend, international investors have had to hedge the currency risk from their Japanese equity exposure. This product provides a very straightforward route to achieving that.”

The fund has more than £700 million in assets under management and replicates the MSCI Japan via a fully collateralised swap. It comes with a Total Expense Ratio (TER) of 0.60%.

The new share class for the MSCI Japan fund follows DeAWM’s listing last week of the first ETF on the London Stock Exchange to provide exposure to the German DAX index. The fund is a direct replication ETF.

“We have several new fund and share class launches preparing to come to market in the months ahead, which will help reinforce our position as one of Europe’s leading ETF providers,” added Mistry.

Both the db X-trackers MSCI Japan Index UCITS ETF and the db X-trackers DAX UCITS ETF (DR) have UK reporting fund status, and are eligible for inclusion in ISAs and SIPPs.

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