In this chapter we will examine the iShares Global Water UCITS ETF (IE00B1TXK627) in more detail, discussing its specific characteristics and potential suitability for different types of investors.
The ETF's primary objective is to track the performance of the S&P Global Water 50 Index by providing investors with exposure to the largest publicly traded companies operating in the water sector, including water utilities, infrastructure, equipment, and water treatment.
The ETF invests primarily in global stocks of companies operating in the water sector. This includes companies involved in water services, infrastructure and equipment, as well as water treatment and technology companies.
The ETF's focus on water-related sectors offers investors the opportunity to benefit from the growing demand for clean water and water-related services.
The fund has nearly 2 billion under management so it is definitely suitable for all pockets!
The ETF is denominated in US dollars and domiciled in Ireland. For non-US investors, it is essential to consider the currency risk associated with investing in a dollar-denominated ETF.
The ETF has an expense ratio of 0.65 percent, which is higher than that of some broad market ETFs but can be considered reasonable for a thematic ETF.
Investors should always compare the expense ratio with that of similar funds to ensure affordability.