DWS Announces Product Updates to Six U.S.-Listed ETFs

 

NEW YORK, NY – February 26, 2024 – DWS, one of the world's leading asset managers, announced its plans to close the following six U.S.-listed exchange traded funds (ETFs) (the “Funds”) effective March 13, 2024, and to liquidate the Funds effective March 22, 2024:


Ticker Fund Name Exchange
TickerASHX Fund NameXtrackers MSCI China A Inclusion Equity ETF ExchangeNYSE Arca
TickerCN Fund NameXtrackers MSCI All China Equity ETF ExchangeNYSE Arca
TickerDBGR Fund NameXtrackers MSCI Germany Hedged Equity ETF ExchangeNYSE Arca
TickerESCR Fund NameXtrackers Bloomberg US Investment Grade Corporate ESG ETF ExchangeCboe BZX Exchange
TickerESEB Fund NameXtrackers J.P. Morgan ESG Emerging Markets Sovereign ETF ExchangeCboe BZX Exchange
TickerESHY Fund NameXtrackers J.P. Morgan ESG USD High Yield Corporate Bond ETF ExchangeCboe BZX Exchange

After the close of business on March 13, 2024, the liquidating Funds will no longer accept creation orders and the final day of trading on the exchanges will be March 13, 2024. Proceeds of the liquidations are currently scheduled to be sent to shareholders on or about March 22, 2024.

When each liquidating Fund commences liquidation of its portfolio securities, the liquidating Fund may hold cash and securities that may not be consistent with the liquidating Fund’s investment objective and strategy. During this period, each liquidating Fund is likely to incur higher tracking error than is typical for the liquidating Fund. Furthermore, during the time between market open on March 14, 2024, and March 22, 2024, because shares will not be traded on the exchanges, DWS cannot assure investors that there will be a market for their shares.

Shareholders may sell their holdings of a liquidating Fund on the relevant exchange until market close on March 13, 2024, and may incur typical transaction fees from their broker-dealer. If a shareholder still holds shares on March 22, 2024, each liquidating 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 liquidating Funds may or may not, depending upon each liquidating Fund’s circumstances, pay one or more dividends or other distributions prior to or along with the redemption payments. Investors should consult their personal tax advisor about the potential tax consequences.

 

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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 $167 billion in assets under management as of February 16, 2024, making Xtrackers one of the largest providers of ETFs and ETCs by AUM. 


About DWS Group 

DWS Group (DWS) with EUR 896bn of assets under management (as of December 31, 2023) 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 4,500 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 a 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 a Fund and its investments. 

Investing involves risk, including possible loss of principal. Stocks may decline in value. Bond investments are subject to interest-rate, credit, liquidity and market risks to varying degrees. When interest rates rise, bond prices generally fall. Foreign investing involves greater and different risks than investing in US companies, including currency fluctuations, less liquidity, less developed or less efficient trading markets, lack of comprehensive company information, political instability and differing auditing and legal standards. Emerging markets tend to be more volatile and less liquid than the markets of more mature economies, and generally have less diverse and less mature economic structures and less stable political systems than those of developed countries. Funds investing in a single industry, country or in a limited geographic region generally are more volatile than more diversified funds. Special risks associated with investments in Chinese companies include exposure to currency fluctuations, less liquidity, less developed or less efficient trading markets, lack of comprehensive company information, political instability and differing auditing and legal standards the nature and extent of intervention by the Chinese government in the Chinese securities markets, and the potential unavailability of A shares. The U.S. government has imposed restrictions on the ability of U.S. investors to hold and/or acquire securities of certain Chinese companies. To the extent that an Underlying Index includes such a security, and the Fund excludes it, the Fund’s tracking error may increase, and the performance of the Fund and Underlying Index may diverge. Uncertainties in the Chinese tax rules governing taxation of income and gains from investments in A-shares could result in unexpected tax liabilities for the fund, or underlying funds, which may reduce fund returns. Any reduction or elimination of access to A-shares will have a material adverse effect on the ability of the fund to achieve its investment objective. Performance of a fund may diverge from that of an Underlying Index due to operating expenses, transaction costs, cash flows, use of sampling strategies or operational inefficiencies. There are additional risks associated with investing in high-yield bonds, aggressive growth stocks, non-diversified/concentrated funds and small- and mid-cap stocks which are more fully explained in the prospectuses, as applicable. An investment in any fund should be considered only as a supplement to a complete investment program for those investors willing to accept the risks associated with that fund. Please read the applicable 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 DWS Investment Management Americas, Inc. and RREEF America L.L.C., which offer advisory services.

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