UBS Core MSCI Japan UCITS ETF JPY Ukdis

What this fund is

UBS Core MSCI Japan UCITS ETF JPY Ukdis is an exchange-traded fund (ETF) from UBS, traded under the ticker 0E1J (ISIN LU1107559616). One trade buys a whole basket of holdings, so your money is spread out instead of riding on a single company. In plain terms it is about owning small slices of companies, so you share in their growth when they do well — and their falls when they don't, spread across its target market. It follows the MSCI Japan index (passive investing): it tracks the market rather than relying on a manager, keeping running costs down, and its largest holdings include MITSUBISHI UFJ FINANCIAL GRO, TOKYO ELECTRON LTD and TOYOTA MOTOR CORP. Geographically it leans ~29.1% Japan.

Its heaviest sectors are ~9.5% Financials and ~8.7% Technology. Funds like this are commonly chosen by investors who want a regular cash income stream rather than reinvesting everything for growth. Its ongoing charge (TER) is 0.12% a year — about €12 a year on a €10,000 holding, taken automatically from the fund. Income such as dividends is paid out to you as cash (a distributing share class), and over the last year it paid out roughly 0.65% (its trailing yield). It holds the underlying investments directly (physical replication); it is domiciled in Luxembourg and UCITS-regulated, a European standard built to protect everyday investors and trades in JPY.

Its price has swung about 19.2% over the past year — a gauge of how much the value moves, not a judgement of quality. It launched in 2014. As with any investment, its value can go down as well as up, and past performance is not a guide to future results. (Fund data sourced from UBS.)