Xtrackers MSCI World Quality

ETF description

This ETF is designed to provide exposure to global companies that are considered to have high‑quality characteristics. It tracks an index that selects companies based on factors like profitability, stable earnings, and low levels of debt. The goal is to focus on firms that are financially strong and have the potential to perform well over time, regardless of short‑term market fluctuations. By emphasizing these quality factors, the ETF seeks to offer investors a portfolio of companies that are more resilient during economic downturns or periods of market stress.

This ETF may appeal to investors who want to invest globally but prefer to focus on financially sound companies with a proven track record of stability. It could be suitable for those looking for a more conservative approach to global equity investing, aiming to reduce the risk associated with more volatile or speculative stocks.

Issuer details

Xtrackers is a large and established provider of high quality ETFs and exchange traded commodities (ETCs). It is the ETF and ETC segment of the German asset manager DWS.

Xtrackers ETFs are listed on eleven stock exchanges globally and have over £169.53bn (as at June 2024) in assets under management, making Xtrackers one of the largest providers of ETFs and ETCs by AUM.

Index details

The Edge MSCI World Quality Factor index provides investors with exposure to large and mid‑cap stocks across developed markets, employing a quality factor strategy that focuses on high return on equity, stable earnings growth, and low financial leverage. By targeting high‑quality companies, the index aims to capture the performance of firms with strong fundamentals and robust financial health.