UBS (Lux) Fund Solutions plc MSCI Emerging Markets UCITS ETF
Why is this fund on our radar?
Exchange traded funds (ETFs) have become a popular starting point for many investors because they offer a simple, low-cost way to access broad markets. An ETF is essentially a basket of investments, usually shares or bonds, that aims to track the performance of a specific index, such as the FTSE All-Share in the UK or the S&P 500 in the US.
Although we believe high-quality active managers can add value over the long term, we also recognise that many investors want simple and transparent building blocks in their portfolios. With this in mind, we reviewed the large universe of ETFs with the aim of selecting options that provide clean, representative exposure to their markets at a low ongoing cost.
Emerging markets cover fast-growing economies such as China, India, Taiwan, Brazil and South Africa, and they play an increasingly important role in global growth. But for investors, gaining exposure to each individually can be challenging. The UBS MSCI Emerging Markets ETF provides broad access to these regions through a single investment, aiming to track the MSCI Emerging Markets Index closely.
Portfolio
This ETF delivers wide coverage at a competitive cost of 0.15% and is supported by UBS’s established capabilities in managing passive products. Emerging markets indices contain hundreds of holdings and can be more complex to track, so the fund’s size, liquidity and physical replication approach are important strengths. These features help it remain closely aligned to the benchmark whilst keeping costs manageable. For investors who want diversified exposure to developing economies, this ETF offers a straightforward and efficient route.
