DWS has shut 12 ETFs from its Xtrackers range in response to “persistent” low levels of investor demand, ETF Stream can reveal.
The products are a mix of government bond, corporate bond, inflation-linked, sector and smart beta ETFs.
Furthermore, 4 of the ETFs closed on 11 October and the remaining 8 are set to shut on 15 November.
The ETFs are:
- Xtrackers FTSE 100 Equal Weight UCITS ETF (XFEW)
- Xtrackers Morningstar US Quality Dividend UCITS ETF (XMDU)
- Xtrackers Morningstar Global Quality Dividend UCITS ETF (XMGD)
- Xtrackers Eurozone Government Bond Quality Weighted UCITS ETF (XESQ)
- Xtrackers Euro Stoxx 50 ex Financials UCITS ETF (XD5G)
- Xtrackers II EUR Corporate Bond ex Financials UCITS ETF (XB4N)
- Xtrackers II Italy Government Bond UCITS ETF (XBO1)
- Xtrackers II US Treasuries Inflation-Linked UCITS ETF (XUIT)
- Xtrackers II Germany Government Bond 7- 10 Swap UCITS ETF (XG71)
- Xtrackers II Italy Government Aggregate Bond Swap UCITS ETF (XB03)
- Xtrackers II Germany Government Bond 3-5 Swap UCITS ETF (XGN5)
- Xtrackers II Eurozone Government Bond 10-15 UCITS ETF (X105)
The firm said the ETFs at current AUM levels “cannot be operated” in an economically efficient manner.
In a note to investors, DWS said: “The closure of funds with sustained low levels of demand is an ordinary part of the business, along with the launch of new funds where high levels of demand exist.
“These closures are conducted in an effort to continuously optimise our product line-up as part of the product strategy. This strategy lets us keep our product suite relevant while ensuring it meets the needs of our investors.”
In the note, DWS said it plans to launch more products in the coming months.
The German asset manager recently saw its ETF business pass through the €100bn AUM barrier, the first European headquartered issuer to do this.
DWS is the second issuer to close ETFs this week. On Monday, ETF Stream revealed UBS Asset Management had shut a multi-factor global equity ETF just over a year after launch, the nUBS ETF MSCI World Select Factor Mix UCITS ETF (WOFM)