The L&G Cyber Security UCITS ETF (USPY) is an Ireland-domiciled equity ETF managed by LGIM Managers (Europe) Limited. USPY is the ticker for the fund's U.S. dollar listing on the London Stock Exchange.

The fund seeks to track the ISE Cyber Security UCITS Index, a benchmark composed of global companies operating in the cybersecurity industry and providing technologies, products, and services designed to protect networks, systems, devices, and data.

USPY provides thematic exposure to the global cybersecurity industry. The fund follows a passive investment strategy and uses full physical replication, directly holding the stocks included in its benchmark. It operates under the UCITS framework and follows an accumulating income policy.

Composition / Exposure Profile

USPY focuses on companies involved in developing and providing cybersecurity solutions. Areas represented across this ecosystem can include:

• Network and infrastructure security.

• Device and endpoint protection.

• Data and application security.

• Identity and access management solutions.

• Cybersecurity software and services.

• Digital threat monitoring, detection, and prevention.

The fund has global geographic exposure, although the United States represents a significant portion of the portfolio. It can also include companies based in markets such as Japan, Canada, Israel, and other countries depending on the composition of the benchmark.

The portfolio is heavily concentrated in information technology, reflecting the nature of the companies operating within the cybersecurity industry. 

Structure and Costs

The fund has the U.S. dollar as its base currency. On the London Stock Exchange, the USD listing trades under USPY, while the GBP listing uses ISPY. USPY is also used for the fund's EUR listing on Xetra.

The ETF has a total expense ratio (TER) of 0.69% per year and uses full physical replication. It is domiciled in Ireland, operates under the UCITS framework, and is managed by LGIM Managers (Europe) Limited.

USPY follows an accumulating income policy, meaning dividends received from portfolio companies are reinvested within the fund rather than periodically distributed to shareholders.

History and Evolution of the ETF

The L&G Cyber Security UCITS ETF (USPY) was launched in 2015 to provide exposure to global companies operating in the cybersecurity industry.

Since its launch, the fund has maintained a passive strategy linked to the ISE Cyber Security UCITS Index, tracking the evolution of companies developing technologies and services designed to protect digital infrastructure.

Throughout the fund's history, the cybersecurity industry has evolved alongside the expansion of cloud computing, the digitization of businesses and services, growth in data storage, and increasing complexity of cyber threats.

Additional Information

L&G Cyber Security UCITS ETF (Ireland) is an exchange-traded fund (ETF), with assets under management totaling $2.50 billion.

Over the past 12 months, L&G Cyber Security UCITS ETF recorded a return of 53.07%, with its price trading between $27.36 and $51.25 during the same period.

The ETF is traded under the ticker USPY.