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Deutsche Asset & Wealth Management Changes the Underlying Index of Deutsche X-trackers MSCI All China Equity ETF

November 30, 2015 8:45 AM EST

NEW YORK--(BUSINESS WIRE)-- Deutsche Asset & Wealth Management (Deutsche AWM) today announced that Deutsche X-trackers MSCI All China Equity ETF (NYSE: CN) will change its underlying index from the MSCI All China Index to the MSCI China All Shares Index, effective today. The new index is designed to better position CN to serve as the benchmark product for the eventual and full inclusion of A-shares in the MSCI Emerging Markets Index.

“As the first US-listed ETF to provide investors with broad exposure to onshore and offshore Chinese equities through a single ETF, CN seeks to provide the most relevant and efficient means of accessing China for US investors.” said Fiona Bassett, Head of Passive in the Americas. “Preparing for the inclusion of A-shares will help us the meet demands of our clients as the Chinese market begins to become more accessible globally.”

China is the world’s second largest economy and its equity market has become increasingly accessible for international institutional investors. China currently accounts for nearly one quarter of the MSCI Emerging Markets Index weight, which does not yet include China A-shares, given the existence of quota systems in China for foreign investors. As Chinese regulation softens to offer more access to China A-shares, the market expects A-shares to be included in the MSCI Emerging Markets Index, which would increase China’s weight to greater than 40%. The MSCI China All Shares Index reflects this exposure and offers comprehensive exposure to Chinese equities, fully accounting for the A-share market.

Offering a broad suite of China exposure and currency-hedged ETFs in the US, Deutsche’s X-trackers US platform has experienced breakthrough success. With assets totaling USD 21 billion as of November 23, 2015, the Deutsche X-trackers platform has increased by approximately 395% since year end, and has continued to be among the fastest growing exchange-traded fund (ETF) franchises in the US.1 The firm’s global exchange traded products platform is now the world’s fifth largest, with approximately USD 76.9 billion in assets under management as of September 30, 2015.2

For more information about the ETFs available in the US, visit: http://www.deutsche-etfs.com

Deutsche Asset & Wealth Management

With USD 1.22 trillion of assets under management (as of September 30, 2015), Deutsche Asset & Wealth Management¹ is one of the world's leading investment organizations. Deutsche Asset & Wealth Management offers individuals and institutions traditional and alternative investments across all major asset classes. It also provides tailored wealth management solutions and private banking services to high-net-worth individuals and family offices.

¹ Deutsche Asset & Wealth Management is the brand name of the Asset Management and Wealth Management division of the Deutsche Bank Group. The legal entities offering products or services under the Deutsche Asset & Wealth Management brand are listed in contracts, sales materials and other product information documents.

Deutsche X-trackers ETFs (“ETFs”) are managed by DBX Advisors LLC (the “Advisor”) and distributed by ALPS Distributors, Inc. (“ALPS”). The Advisor is a subsidiary of Deutsche Bank AG and is not affiliated with ALPS.

MSCI is a servicemark of MSCI Inc. (MSCI) and has been licensed for use by DBX. CN is not sponsored, endorsed, issued, sold or promoted by MSCI nor does MSCI make any representation regarding the advisability of investing in CN. It is not possible to invest directly in an index.

The MSCI All China Index captures large and mid cap representation across all China securities listed in China and Hong Kong as well as in the U.S. and Singapore. The index includes: A shares, H shares, B shares, Red chips, and P chips along with China securities (including ADRs) that are listed on the NYSE Euronext (New York), the NASDAQ, the New York AMEX and the Singapore exchanges. It is not possible to invest directly in an index.

The MSCI China All Shares Index captures large and mid-cap representation across China A‐shares, B‐shares, H‐shares, Red‐chips, and P‐chips. The index aims to reflect the opportunity set of China share classes listed in Hong Kong, Shanghai and Shenzhen. It is based on the concept of the integrated MSCI China equity universe with China A-shares included.

The MSCI Emerging Markets Index captures large and mid cap representation across 23 Emerging Markets (EM) countries. With 834 constituents, the index covers approximately 85% of the free float-adjusted market capitalization in each country.

Consider CN's investment objective, risk factors, and charges and expenses before investing. This and other important information can be found in CN’s prospectus, which may be obtained by calling 1-855-DBX-ETFS (1-855-329-3837) or by viewing or downloading a prospectus at deutsche-etfs.com. Please read it carefully before investing.

Shares of CN may be sold throughout the day on the exchange through any brokerage account. However, shares may only be purchased and redeemed directly from CN by authorized participants in very large creation/redemption units. There is no assurance that an active trading market for shares of CN will develop or be maintained.

International investing involves greater and different risks than investing in U.S. companies and funds investing in a single country or in a limited geographic region tend to be more volatile than more diversified funds. Emerging markets, such as China, tend to be more volatile that the markets of more mature economies, and generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. Special risks associated with investments in Chinese companies include exposure to currency fluctuations, less liquidity, less developed or less efficient trading markets, lack of comprehensive company information, political instability and differing auditing and legal standards the nature and extent of intervention by the Chinese government in the Chinese securities markets, and the potential unavailability of A-shares. Any reduction or elimination of access to A-shares will have a material adverse effect on the ability of the funds to achieve their investment objectives. Uncertainties in the Chinese tax rules governing taxation of income and gains from investments in A-shares could result in unexpected tax liabilities for the Funds which may reduce the Funds returns. An investment in these funds should be considered only as a supplement to a complete investment program for those investors willing to accept the greater risks associated with investments in China. Please read each Fund's prospectus for a more complete discussion of the Fund's risks.

No bank guarantee | Not FDIC insured | May lose value

Deutsche Asset & Wealth Management represents the asset management and wealth management activities conducted by Deutsche Bank AG or any of its subsidiaries. Clients will be provided Deutsche Asset & Wealth Management products or services by one or more legal entities that will be identified to clients pursuant to the contracts, agreements, offering materials or other documentation relevant to such products or services.

© 2015 Deutsche Asset & Wealth Management. All rights reserved. 045257_1.0 DBX001709 11/24/2016

1 Source: ETF.com

2 Source: Deutsche AWM

For further information, please call:
Deutsche Bank AG Press & Media Relations
Catherine Wooters, 1-212-250-2790
[email protected]

Source: Deutsche Asset & Wealth Management



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