UBS ETF on Xetra tracks emerging market government bonds denominated in US dollars and local currencies
The bond ETF, the UBS ETF - J.P. Morgan EM Multi-Factor Enhanced Local Currency Bond UCITS ETF (USD) A-dis, gives investors the opportunity to participate in the performance of government bonds issued by emerging markets denominated in their local currency or in US dollars.
The benchmark index is the J.P. Morgan EM Multi-Factor Enhanced Local Currency Bond Index USD. It includes government bonds issued by emerging markets in their local currency with a maximum maturity of three years. These bonds are selected on the basis of carry and momentum factors. On the other hand, the ETF invests in emerging market short-term government bonds denominated in US dollars with a maturity of one to five years. Additional income is generated through exposure to the US Libor interest rate.
The ETF has also been launched on Borsa Italiana.