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Deutsche Asset Management Expands Comprehensive Factor ETF Suite with Launch of New Emerging Market Fund (DEMG)

DB, DEEF, DEUS

Deutsche Asset Management (Deutsche AM) today announced a new addition to its multifactor ETF suite. The Deutsche X-trackers FTSE Emerging Comprehensive Factor ETF (Ticker: DEMG) seeks to track the FTSE Emerging Comprehensive Factor Index. The FTSE Russell family of Comprehensive Factor Indices is designed to track the equity market performance of companies that have demonstrated relatively strong exposure to targeted investment style factors: value, momentum, quality, low volatility and size.

“Emerging market equities may be an interesting opportunity for diversification or growth. Investors who believe emerging markets are poised to rebound may be interested in DEMG, which seeks to identify and overweigh relatively valuable, high-quality emerging market stocks, with relatively positive performance momentum and lower volatility,” said Fiona Bassett, Head of Passive in the Americas. “DEMG is an important addition to our suite of Comprehensive Factor ETFs, which is designed to help investors establish new efficient frontiers in their asset allocation. Our Comprehensive Factor ETFs are based on an intelligently designed index construction mechanism, taking into account five investment factors that are supported by robust academic research.”

Deutsche X-trackers Russell 1000 Comprehensive Factor ETF (Ticker: DEUS) and Deutsche X-trackers FTSE Developed ex US Comprehensive Factor ETF (Ticker: DEEF) launched in November 2015, and have both outperformed their market cap weighted benchmarks since launch. In Q1 2016, DEUS had a total return of 4.23%, which compared favorably to the 1.17% total return from the Russell 1000 Index, DEUS’s market cap weighted benchmark. DEEF delivered 1.04% over the same period, outperforming its market cap weighted FTSE Developed ex-US index by 1.38%. DEMG follows the same investment methodology as the two previously-launched funds applied to the emerging markets universe.

“We are very excited to build on our relationship with Deutsche Asset Management by providing innovative new indexes to benefit their US ETF clients,” said Ron Bundy, CEO North America Benchmarks for FTSE Russell. “Our innovative global factor indexes are a growing and diverse set of tools to help investors better meet their objectives.”

Offering the broadest suite of currency-hedged ETFs in the US, Deutsche X-trackers US platform had a stellar year in 2015. With assets under management increasing by over 400%, the Deutsche X-trackers platform of 35 products solidified its position as the fastest-growing ETF issuer on a percentage basis for 2015 in the US.1 The year was capped off by Deutsche AM being named the “Best ETF Issuer in 2015” by ETF.com. The award is given to the issuer that has done the most to improve investor outcomes through product introductions, product performance, fund management, asset gathering, investor support and innovation throughout last year.2 Launched in 2006, Deutsche AM’s global exchange traded products (ETP) platform has grown to become a top 5 ETF provider3 and a top 3 new asset gatherer globally4 in 2015.

To find out more about the ETPs available in the US, visit: http://www.deutsche-etfs.com

The performance quoted represents past performance. Past performance does not guarantee future results and current performance may be higher or lower than the performance shown. Investment results and principal value will fluctuate so that shares, when sold or redeemed, may be worth more or less than their original cost. Average annual total returns include reinvestment of dividends and capital gains. To obtain data current to the most recent month-end, call (855) 329-3837. From inception (11/24/15) to 3/31/16, DEUS has a total return of 2.72%, the Russell 1000 market cap benchmark has a total return of -0.82%; DEEF has a total return of 0.17%, & the FTSE Developed ex US market cap benchmark has total return of -3.01%. The gross expense ratio of DEUS and DEEF is 0.25% and 0.35% respectively.

1 Source: ETF.com

2 Source: ETF.com

3 Source: Deutsche Bank, Bloomberg Finance LP, FactSet as of 10/5/15. Includes US, Europe, and Asia Pacific. All rankings based on AuM

4 Source: Morningstar Essentials, Deutsche Asset Management as of 12/31/15

Deutsche Asset Management

With about USD 836 billion of assets under management (as of September 30, 2015), Deutsche Asset Management¹ is one of the world’s leading investment management organizations. Deutsche Asset Management offers individuals and institutions traditional and alternative investments across all major asset classes.

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

© 2016 Deutsche Asset Management. All rights reserved.

The Indexes are calculated by FTSE or its agent. FTSE and its licensors are not connected to and do not sponsor, advise, recommend, endorse or promote the Deutsche ETFs and do not accept any liability whatsoever to any person arising out of (a) the use of, reliance on or any error in the Indexes or (b) investment in or operation of the Deutsche ETFs. FTSE makes no claim, prediction, warranty or representation either as to the results to be obtained from the Deutsche ETFs or the suitability of the Indexes for the purpose to which it is being put by Deutsche Asset Management.

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

RISKS: Investing involves risk, including possible loss of principal. Stocks may decline in value. Foreign investing involves greater and different risks than investing in US companies, including currency fluctuations, less liquidity, less developed or less efficient trading markets, lack of comprehensive company information, political instability and differing auditing and legal standards. Emerging markets tend to be more volatile than 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. Funds investing in a single industry, country or in a limited geographic region generally are more volatile than more diversified funds. Because the Fund seeks to provide exposure to stocks based on the following multifactors – value, momentum, quality, low volatility and size – it is expected that exposure to such investment factors will detract from performance in some market environments, as more fully explained in the Fund’s prospectus. Performance of the Fund may diverge from that of the Underlying Index due to operating expenses, transaction costs, cash flows, use of sampling strategies or operational inefficiencies. An investment in any fund should be considered only as a supplement to a complete investment program for those investors willing to accept the risks associated with that fund. Please read the prospectus for more information.

DBX Advisors LLC is the investment adviser to the Deutsche X-trackers Funds. Deutsche X-trackers Funds are distributed by ALPS Distributors, Inc.

One cannot invest directly in an index.

Shares of the Fund may be sold throughout the day on the exchange through any brokerage account. Shares, however, are not individually redeemable, and owners of shares may acquire those shares from the Fund or tender such shares for redemption to the fund in creation units only. There is no assurance that an active trading market for shares of the Fund will develop or be maintained.

No bank guarantee | Not FDIC insured | May lose value 046007_1.0 DBX001938 04/18/17

Deutsche Bank AG
Press & Media Relations
Oksana Poltavets, +1 212-250-0072
oksana.poltavets@db.com



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