URTH Profile
The iShares MSCI World ETF is designed to offer broad exposure to the global equity market by tracking the performance of a comprehensive index. Under normal market conditions, the fund allocates at least 80% of its assets to securities that are constituents of the MSCI World Index, as well as to investments with similar economic characteristics. This approach ensures that the fund closely mirrors the index's performance, which represents a wide array of large and mid-cap companies across developed markets worldwide.
The MSCI World Index, which the fund tracks, includes a diverse range of equities from 23 developed countries, covering a broad spectrum of industries and sectors. By focusing on large and mid-cap companies, the index provides a balanced view of the global economy, capturing key segments of major developed markets such as the United States, Japan, and various European nations. This broad coverage enables investors to gain exposure to a substantial portion of the global stock market through a single investment vehicle.
The fund’s investment strategy emphasizes diversification and global reach, making it suitable for investors seeking a comprehensive exposure to developed market equities. It provides a way to invest in a wide range of high-quality companies across different regions and sectors, aiming to offer both growth potential and stability. By investing in the iShares MSCI World ETF, investors can achieve international diversification within their equity portfolios, potentially reducing risk associated with concentrated investments in any single market.
As a passively managed fund, the iShares MSCI World ETF aims to replicate the performance of its benchmark index rather than outperform it. This approach involves maintaining a portfolio that closely aligns with the index's composition and weightings. The fund’s structure supports efficient market exposure while keeping management costs relatively low. Investors should consider the fund’s global exposure and its focus on developed markets when evaluating its fit within their broader investment strategy.
|
