DWS Launches Fixed-Maturity Bond ETFs in Response to BlackRock’s Move

Share post:

DWS has entered the fixed-maturity bond ETF space, launching four Xtrackers II Target Maturity Ucits ETFs in Luxembourg. These ETFs, with fixed durations until 2027, 2029, 2031, and 2033, aim to provide regular quarterly payouts and are designed for liquidation at the end of their terms. Despite being listed in Frankfurt and available across Europe (excluding the UK), the funds will not be accessible to UK investors. With a competitive total expense ratio of 0.12%, the ETFs track Bloomberg benchmarks and focus on euro-denominated, investment-grade corporate bonds.

Competing with BlackRock in Europe

DWS’s move follows BlackRock’s introduction of a suite of fixed-term bond ETFs for European investors in August. BlackRock further expanded its offering with five new iBonds ETFs in September. The growing interest in fixed-maturity bond ETFs reflects investors’ demand for predictable income in a low-interest-rate environment.

DWS Plans Further Expansion

Simon Klein, Global Head of Xtrackers Sales at DWS, emphasized the appeal of these ETFs for income-focused investors, providing exposure to a diversified fixed-income portfolio with characteristics akin to individual bonds. Klein also revealed DWS’s strategic plans to add more funds to its fixed-maturity bond ETF offering, positioning itself to capture a growing market trend initiated by BlackRock’s earlier success.

Related

Maintain Your Horses! A Space Bitcoin ETF May perhaps well also Already Be Priced into Crypto.

There is a growing belief that the recent price surge in bitcoin could already factor in the potential approval of a spot Bitcoin ETF- a pivotal strategic investment move that holds significant influence in the crypto market. Investors and financial enthusiasts alike are keenly awaiting regulatory approval, a decision that could potentially catalyze the future growth trajectory of bitcoin prices. This speculation underscores not only the potential value that bitcoin holds as a digital asset but also the evolving role of institutional reactiveness in the cryptocurrency landscape.

Tim Draper’s Bold Prediction: Bitcoin (BTC) Price Set to Skyrocket to $250K!

In the world of finance, Bitcoin is increasingly recognized as a transformative force. With the potential to challenge...

Bitcoin ETF: Navigating the Perils of SEC Rejection and Fierce Opposition from Funds

A recent court order has directed the Securities and Exchange Commission (SEC) to reconsider its denial of Grayscale's...

Nike’s Shocking 10% Plunge: Sales Outlook Slashed

Nike, a leading athletic apparel⁢ company, ⁣recently announced plans to reduce costs by $2 ‍billion over the next...