The Xtrackers MSCI World Information Technology UCITS ETF 1C (XDWT) is an Ireland-domiciled equity ETF managed by DWS through its Xtrackers platform.
The fund seeks to track the MSCI World Information Technology 20/35 Custom Index, a benchmark comprising large- and mid-cap information technology companies across developed markets.
The benchmark is derived from the MSCI World Index universe and includes companies classified within the information technology sector under the Global Industry Classification Standard (GICS). Its methodology also applies concentration limits designed to restrict the individual weights of the largest companies in the index.
Composition / Exposure Profile
XDWT is concentrated in the global information technology sector and provides exposure to different areas of the industry, including:
Semiconductors.
Semiconductor equipment and materials.
Systems and application software.
Technology hardware, storage, and peripherals.
Communications equipment.
IT services and consulting.
Electronic components and equipment.
Technology services and infrastructure.
Although the index includes companies across different developed markets, the United States represents the largest portion of its exposure. Other markets, including Japan, the Netherlands, Germany, and Canada, are also represented in the portfolio.
As a sector-specific ETF, XDWT has significantly greater technology concentration than a broadly diversified global equity index. The structure of the technology sector also means that a small number of large-cap companies can represent substantial portions of the portfolio, despite the concentration limits established by the benchmark methodology.
Structure and Costs
The fund has the U.S. dollar as its base currency. The currency used to trade shares on different exchanges does not change the economic exposure of the underlying assets or, by itself, provide currency hedging.
The ETF has a total expense ratio of 0.25% per year, uses physical replication, and is domiciled in Ireland. It operates as part of Xtrackers (IE) plc under the UCITS framework.
The 1C share class 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 Xtrackers MSCI World Information Technology UCITS ETF 1C was launched in 2016 to provide targeted exposure to the information technology sector across developed markets.
Since its launch, the fund has maintained a passive strategy focused on large- and mid-cap companies classified within the information technology sector.
Throughout its history, XDWT's performance has reflected cycles across the global technology industry, including developments in semiconductors, software, and hardware, as well as changing demand for digital infrastructure and shifts in economic and monetary conditions across developed markets.
Additional Information
Xtrackers MSCI World Information Technology UCITS ETF 1C (Ireland) is an exchange-traded fund (ETF), with assets under management totaling $4.20 billion.
Over the past 12 months, Xtrackers MSCI World Information Technology UCITS ETF 1C recorded a return of 31.34%, with its price trading between $103.74 and $157.03 during the same period.
The ETF is traded under the ticker XDWT.