Deutsche Börse is further expanding its XTF segment for exchange-traded index funds. Four new credit derivative ETFs issued by db x-trackers II have been tradable on the pan-European Xetra trading platform since Thursday. Banks, in particular, use credit derivatives to pass on the risk of default by their borrowers to third party collateral providers, for which the latter receive a premium. In return, the collateral providers undertake to pay compensation to the bank in the event of payment default by the borrower. The ETFs issued by db x-trackers make the iTraxx benchmark indices tradable in the format of OGAW III Fonds.
The db x-trackers II iTraxx Europe Subordinated Financials 5-year TRI ETF (ISIN: LU0378819378) and the db x-trackers II iTraxx Europe Subordinated Financials 5-year Short TRI ETF (ISIN: LU0378819881) are based on the iTraxx Europe Subordinated Financials 5-year Total Return Index. The management fee for these two exchange-traded funds is 0.21 percent.
The db x-trackers II iTraxx Europe Senior Financials 5-year TRI ETF (ISIN: LU0378819295) and the db x-trackers II iTraxx Europe Senior Financials 5-year Short TRI ETF (ISIN: LU0378819709) are based on the iTraxx Europe Senior Financials 5-year Total Return Index. The management fee of these two products is 0.18 percent.
The two long ETFs measure the return for a credit protection seller of holding iTraxx Europe Financials credit derivative transactions with a tenor of five years. The underlying indices comprise the subordinated and senior debt respectively from the 25 finance companies from the iTraxx Europe index. With the two short products, on the other hand, investors participate in the development of the return for credit protection buyers.
The product offering on Xetra in the XTF segment currently comprises a total of 369 exchange-traded index funds, making it the largest offering of all European stock xchanges. This selection, together with an average monthly trading volume of over ¤9 billion, makes Deutsche Börse's XTF segment Europe's leading trading venue for ETFs.
Xetra® is a registered trademark of Deutsche Börse AG.
iTraxx® is a registered trademark of International Index Company Limited (IIC).
The db x-trackers II iTraxx Europe Subordinated Financials 5-year TRI ETF (ISIN: LU0378819378) and the db x-trackers II iTraxx Europe Subordinated Financials 5-year Short TRI ETF (ISIN: LU0378819881) are based on the iTraxx Europe Subordinated Financials 5-year Total Return Index. The management fee for these two exchange-traded funds is 0.21 percent.
The db x-trackers II iTraxx Europe Senior Financials 5-year TRI ETF (ISIN: LU0378819295) and the db x-trackers II iTraxx Europe Senior Financials 5-year Short TRI ETF (ISIN: LU0378819709) are based on the iTraxx Europe Senior Financials 5-year Total Return Index. The management fee of these two products is 0.18 percent.
The two long ETFs measure the return for a credit protection seller of holding iTraxx Europe Financials credit derivative transactions with a tenor of five years. The underlying indices comprise the subordinated and senior debt respectively from the 25 finance companies from the iTraxx Europe index. With the two short products, on the other hand, investors participate in the development of the return for credit protection buyers.
The product offering on Xetra in the XTF segment currently comprises a total of 369 exchange-traded index funds, making it the largest offering of all European stock xchanges. This selection, together with an average monthly trading volume of over ¤9 billion, makes Deutsche Börse's XTF segment Europe's leading trading venue for ETFs.
Xetra® is a registered trademark of Deutsche Börse AG.
iTraxx® is a registered trademark of International Index Company Limited (IIC).
