New thematic fund utilizes Nasdaq’s
systematic patent screening process to identify promising AI
innovators and disruptive technology companies of the
future
DWS, a leading global asset manager, announced the launch of the
Xtrackers Artificial Intelligence and Big Data ETF (NASDAQ:
XAIX). This fund aims to provide investors with targeted
exposure to companies actively positioning themselves to be the
producers of Artificial Intelligence (AI) innovation and Big Data
technologies of the future.
"By launching XAIX in the U.S., we aim to offer investors broad
access to the AI and Big Data technology producers powering the
market today, and the ones that are poised to fuel the next stages
of market growth beyond the AI-mega-caps,” said Olivier Souliac,
Head of Indexing for Xtrackers products at DWS Group.
The Nasdaq Global Artificial Intelligence and Big Data™ Index is
designed to track the performance of companies that are most active
in filing patents related to Deep Learning, Natural Language
Processing, Image Recognition, Speech Recognition & Chatbots,
Cloud Computing, Cybersecurity, and Big Data. In collaboration with
DWS, Nasdaq has created the Index classification process to review
innovative technologies by systematically analyzing millions of
approved patents on a rolling one-year basis. The Index aims to
select companies that may be innovative in their space based on the
data.
“We’re excited to add the Artificial Intelligence theme to our
powerful line-up of thematic ETFs in the U.S. market by partnering
with Nasdaq,” said Arne Noack, Regional Investment Head Xtrackers,
Americas. “We believe that their strategy and track record of
utilizing a proprietary patent screening process, aimed at
identifying innovative companies of the future, makes XAIX a unique
and highly competitive proposition in the market for U.S.-listed
ETFs focused on the Artificial Intelligence theme.”
The new fund complements the Xtrackers Thematic fund universe
that currently spans U.S. Critical Technology, U.S. Green
Infrastructure, Semiconductors, Cybersecurity, and Natural
Resources.
Noack added: “With this fund, DWS is providing investors with
exposure to AI producers and innovators, instead of the broad
universe of AI beneficiaries. Many companies are starting to
highlight the application of AI in their business models, however
very few are AI innovators. The unique selection process of this
index allows DWS and Nasdaq to identify who is truly an innovator
systematically.”
Amanda Rebello, Head of Xtrackers Sales, U.S. Onshore, said,
“The Xtrackers Artificial Intelligence and Big Data ETF can help
with risk management by providing a diversified exposure to this
theme. By tracking an index that caps individual stocks weights,
this may help minimize esoteric, single-stock exposure in a
portfolio, thereby decreasing the chance of experiencing an extreme
drawdown attributable to just one name’s total return.”
Description of Underlying Indexes and ETF Expense
Ratios
The Xtrackers Artificial Intelligence and Big Data ETF seeks
investment results that correspond generally to the performance,
before fees and expenses, of the Nasdaq Global Artificial
Intelligence and Big Data Index, developed by Nasdaq Global Indexes
and DWS. The Underlying Index is designed to track the performance
of a selection of companies from globally developed and emerging
markets as defined by Nasdaq. The Index is market
capitalization-weighted with a 4.5% cap for each stock at each
semi-annual rebalancing.
The ETF is competitively priced with net/gross expense ratio of
0.35%/0.35%.
Xtrackers U.S., Global Product Suite and AuM Update
The addition of XAIX expands the Xtrackers U.S. product suite to
40 funds, and as of June 30, 2024, approximately USD 21 billion in
assets under management. Xtrackers globally now comprises over 200
UCITS ETFs as of June 30, 2024, with approximately EUR 291 billion
in assets under management.1
Since January 2023, Xtrackers by DWS in the U.S. has launched 9
ETFs and has plans to continue to approach the market with
innovative, cost-disruptive indexing strategies that give investors
building blocks to various types of exposures.
About DWS Group
DWS Group (DWS) with EUR 933bn of assets under management (as of
June 30 2024) 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 the
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. Xtrackers 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.
Investing involves risk, including possible loss of principal.
Stocks may decline in value. Funds investing in a single industry,
country or in a limited geographic region generally are more
volatile than more diversified funds. 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.
The Nasdaq Global Artificial Intelligence and Big Data Index NTR
is designed to track the performance of companies engaged in the
following themes: Deep Learning, NLP, Image Recognition, Speech
Recognition & Chatbots, Cloud Computing, Cybersecurity and Big
Data.
Cannot invest directly in an index.
Companies involved in artificial intelligence and big data face
intense competition, may have limited product lines, markets,
financial resources and personnel. Artificial intelligence and big
data companies are also subject to risks of new technologies and
are heavily dependent on patents and intellectual property rights
and the products of these companies may face obsolescence due to
rapid technological developments. Incorporation of ESG criteria in
the fund’s investment strategy does not guarantee a return or
protect against a loss, limits the types and number of investment
opportunities available to the fund and, as a result, the fund may
underperform other funds that do not have an ESG focus. This fund
is non-diversified and can take larger positions in fewer issues,
increasing its potential risk. An investment in this fund should be
considered only as a supplement to a complete investment program
for those investors willing to accept the risks associated with the
fund. Please read the prospectus for more information.
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 the fund and
its investments.
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.
Nasdaq® and the Nasdaq Global Artificial Intelligence and Big
Data™ Index are trademarks of Nasdaq, Inc. (which with its
affiliates is referred to as the “Corporations”) and are licensed
for use by DWS. The Product(s) have not been passed on by the
Corporations as to their legality or suitability. The Product(s)
are not issued, endorsed, sold, or promoted by the Corporations.
THE CORPORATIONS MAKE NO WARRANTIES AND BEAR NO LIABILITY WITH
RESPECT TO THE PRODUCT(S). R-102006_2 (07/24) DBX006117 (07/24)
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version on businesswire.com: https://www.businesswire.com/news/home/20240805236452/en/
Kenny Juarez 1-212-454-9994 kenny.juarez@dws.com
Brendan Moffitt 1-212-454-0013
Brendan.Moffitt@dws.com