Xtrackers by DWS Announces Product Update to its US Listed ETFs
NEW YORK--(BUSINESS WIRE)--Xtrackers by DWS, one of the world's largest and most established providers of exchange traded funds, announced plans to close its Xtrackers S&P 600 SmallCap ESG ETF, a U.S.-listed exchange traded fund (ETF) (the “Fund”) effective May 24, 2024, and to liquidate the Fund effective June 5, 2024. The Fund currently trades on the NYSE Arca exchange (the “Exchange”).
After the close of business on May 24, 2024, the Fund will no longer accept creation orders and the final day of trading will be May 24, 2024. Proceeds of the liquidation are currently scheduled to be sent to shareholders on or about June 5, 2024.
When the Fund commences liquidation of its portfolio securities, it may hold cash and securities that may not be consistent with its investment objective and strategy. During this period, the Fund is likely to incur a higher tracking error than is typical for the Fund. Furthermore, during the time between market open on May 28, 2024, and June 5, 2024, because shares will not be traded on the Exchange, DWS cannot assure investors that there will be a market for their shares.
Shareholders may sell their holdings of the Fund on the Exchange until the market close on May 24, 2024, and may incur typical transaction fees from their broker-dealer. If a shareholder still holds shares on June 5, 2024, the Fund will automatically redeem those shares for cash at the current net asset value as of the close of business on that date. Shareholders generally will recognize a capital gain or loss on the redemptions. The Fund may or may not pay one or more dividends or other distributions prior to or along with the redemption payments. Investors should consult with their personal tax advisor about the potential tax consequences.
Note to Editors: Xtrackers’ Global Business
Globally, Xtrackers by DWS is a large and established provider of high-quality exchange traded funds (ETFs) and exchange traded commodities (ETCs). Providing efficient “passive” exposure to diversified indices or to single commodities, Xtrackers ETFs and ETCs provide a comprehensive set of dependable investment tools for effective portfolio allocation.
Xtrackers are listed on seven stock exchanges globally and have approximately $273 billion in assets under management as of December 31, 2023, making Xtrackers one of the largest providers of ETFs and ETCs by AUM.
About DWS Group
DWS Group (DWS) with EUR 941bn of assets under management (as of 31 March 2024) aspires to be one of the world's leading asset managers. Building on more than 60 years of experience, it has a reputation for excellence in Germany, Europe, the Americas, and Asia. DWS is recognized by clients globally as a trusted source for integrated investment solutions, stability, and innovation across a full spectrum of investment disciplines.
We offer individuals and institutions access to our strong investment capabilities across all major liquid and illiquid asset classes as well as solutions aligned to growth trends. Our diverse expertise in Active, Passive and Alternatives asset management complement each other when creating targeted solutions for our clients. Our expertise and on-the-ground knowledge of our economists, research analysts and investment professionals are brought together in one consistent global CIO View, giving strategic guidance to our investment approach.
DWS wants to innovate and shape the future of investing. We understand that, both as a corporate as well as a trusted advisor to our clients, we have a crucial role in helping navigate the transition to a more sustainable future. With approximately 4,600 employees in offices all over the world, we are local while being one global team. We are committed to acting on behalf of our clients and investing with their best interests at heart so that they can reach their financial goals, no matter what the future holds. With our entrepreneurial, collaborative spirit, we work every day to deliver outstanding investment results, in both good and challenging times, to build the best foundation for our clients’ financial future.
IMPORTANT INFORMATION
ETF shares 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.
Consider the Fund’s investment objective, 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 1-844-851-4255 or by viewing or downloading a prospectus at www.Xtrackers.com. Please read it carefully before investing.
The brand Xtrackers represents all systematic investment solutions. ETFs in the U.S. are managed by DBX Advisors LLC (the Advisor) and distributed by ALPS Distributors, Inc. (ALPS). The Advisor is a wholly owned subsidiary of DWS Group GmbH & Co. KGaA and is not affiliated with ALPS.
Past performance is no guarantee of future results.
War, terrorism, sanctions, economic uncertainty, trade disputes, public health crises and related geopolitical events have led, and, in the future, may lead to significant disruptions in U.S. and world economies and markets, which may lead to increased market volatility and may have significant adverse effects on the Fund and its investments.
Incorporation of ESG criteria in the fund’s investment strategy does not guarantee a return or protect against a loss, limits the types and number of investment opportunities available to the fund and, as a result, the fund may underperform other funds that do not have an ESG focus. Investing involves risk, including the possible loss of principal. Stocks may decline in value. Small company stocks tend to be more volatile than medium-sized or large company stocks. 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 this fund should be considered only as a supplement to a complete investment program for those investors willing to accept the risks associated with the fund. Please read the prospectus for more information.
Certain statements contained in this release may be forward-looking in nature. These include all statements relating to plans, expectations, and other statements that are not historical facts and typically use words like “expect,” “anticipate,” “believe,” “intend,” and similar expressions. Such statements represent management’s current beliefs, based upon information available at the time the statements are made, with regard to the matters addressed. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, such statements. Management does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. The following factors, among others, could cause actual results to differ materially from forward-looking statements: (i) the effects of adverse changes in market and economic conditions; (ii) legal and regulatory developments; and (iii) other additional risks and uncertainties, including public health crises, war, terrorism, trade disputes and related geopolitical events.
NOT FDIC/ NCUA INSURED • MAY LOSE VALUE • NO BANK GUARANTEE
The brand DWS represents DWS Group GmbH & Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc., which offers investment products, or DBX Advisors LLC, DWS Investment Management Americas, Inc. and RREEF America L.L.C., which offer advisory services.
R-100952-1 (5/25) DBX005994 (5/25)
