First DAX ETF Launches On London Stock Exchange
London Stock Exchange today welcomes the db x-trackers DAX UCITS ETF (DR), the first Exchange Traded Fund (ETF) based on DAX, the blue-chip German equity index, to list in London. Launched by Deutsche Asset & Wealth Management, the physical ETF will give UK-based investors their first ever opportunity to gain direct exposure, via an exchange traded product, to the leading German index.
DAX-based ETFs are exceptionally popular in their domestic market, Germany, where they dominate as the most traded ETFs. The DAX index reflects the largest and most actively traded German companies listed on the Frankfurt Stock Exchange, including global brands such as Siemens, SAP, Bayer and Volkswagen.
Gillian Walmsley, Head of Fixed Income and Exchange Traded Products at London Stock Exchange, said:
“This is an exciting day for ETF investors in the UK. Private investors in particular have until now been unable to get direct exposure to the DAX index via a London-listed ETF. This new ETF will give them access to some of the world’s leading companies and brands. This first DAX ETF is testament to London’s continuing ability to offer the widest diversity of products and investor access to overseas markets.”
Manooj Mistry, Deutsche Asset & Wealth Management’s Head of Exchange Traded Products, EMEA, commented:
“We’re seeing demand from investors for German equity exposure on the back of the positive performance of the German economy. Our db x-trackers DAX UCITS ETF (DR) has a total expense ratio of 0.15% and efficiently replicates the index directly. It should appeal to a wide range of investors.”
The db x-trackers DAX UCITS ETF (DR) trades in Sterling is a full physical ETF, directly replicating the performance of the index by purchasing the underlying physical securities. The ETF has UK reporting fund status and is ISA and SIPP eligible.