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
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