The State Street SPDR MSCI World Financials UCITS ETF (WFIN) is an Ireland-domiciled sector equity ETF managed by State Street. WFIN is the fund's USD trading line on the London Stock Exchange.

The fund seeks to track the MSCI World Financials 35/20 Capped Index, a benchmark comprising large- and mid-cap financial companies across developed markets.

WFIN follows a passive investment strategy and uses physical replication. Its portfolio invests directly in equities with the objective of closely tracking the composition and performance of its benchmark.

The MSCI World Financials 35/20 Capped Index is derived from the MSCI World Index and includes companies classified within the financials sector under the Global Industry Classification Standard (GICS). Its methodology also applies concentration limits to reduce excessive exposure to individual issuers.

Composition / Exposure Profile

WFIN is concentrated in the financial sector and provides exposure to areas including:

• Banks.

• Capital markets.

• Insurance.

• Financial services.

• Consumer finance.

• Other financial activities represented in the benchmark.

The fund provides international exposure to financial companies across developed markets. The United States represents a significant portion of the portfolio, while institutions from countries including the United Kingdom, Canada, Japan, Australia, and different European markets can also be represented.

Although the strategy provides geographic diversification and exposure to different areas of the financial industry, its single-sector focus makes performance particularly sensitive to factors affecting financial institutions.

Structure and Costs

The fund has the U.S. dollar as its base currency. On the London Stock Exchange, it trades in USD under WFIN and in GBP under FNCW. The trading currency does not change the portfolio's underlying economic exposure or provide currency hedging.

The ETF has a total expense ratio (TER) of 0.30% per year, uses physical replication, and is domiciled in Ireland. It operates as part of SSGA SPDR ETFs Europe II plc under the UCITS framework.

WFIN follows an accumulating income policy. Dividends received from portfolio companies are therefore reinvested within the fund rather than periodically distributed to shareholders.

History and Evolution of the ETF

The State Street SPDR MSCI World Financials UCITS ETF was launched in 2016 to provide exposure to the financial sector across developed markets through a global portfolio.

Since 2020, the fund has used the MSCI World Financials 35/20 Capped Index as its benchmark, maintaining a passive strategy focused on large- and mid-cap financial companies.

Throughout its history, WFIN's performance has reflected factors including global interest-rate cycles, monetary policy, credit conditions, economic activity, capital market performance, and regulatory developments affecting the financial industry.

Additional Information

State Street SPDR MSCI World Financials UCITS ETF (Ireland) is an exchange-traded fund (ETF), with assets under management totaling $338.46 million.

Over the past 12 months, State Street SPDR MSCI World Financials UCITS ETF recorded a return of 9.69%, with its price trading between $85.68 and $107.10 during the same period.

The ETF is traded under the ticker WFIN.