Relevance of strategy
This ETF represents passive exposure to the Taiwan equities.
Xtrackers is the branding of the ETF and ETC business from DWS Group, a German-based global asset management company. DWS was originally Deutsche Bank’s asset management business and was spun off via IPO in 2018, though Deutsche Bank still holds majority shares in DWS. DWS manages over 1tn EUR of assets with majority from Germany and EMEA. The Xtrackers products are part of the passive investment solution offerings that comprise 1/3 of the overall assets.
The Xtrackers MSCI Taiwan UCITS ETF is a passive index solution that tracks the MSCI Taiwan 20-35 Custom Index using a full physical replication approach. The index is a free float-adjusted market cap index that tracks large and mid cap companies listed in Taiwan, covering approximately 85% of the investable universe. The weight of the largest group entity in the index is constrained to 35% and the weights of all other entities are constrained at 20%, with a buffer of 10% applied on these limits at each index rebalancing. The ETF has ~85 holdings similar to the index.