UBS Core MSCI EM UCITS ETF USD Ukdis

What this fund is

UBS Core MSCI EM UCITS ETF USD Ukdis is an exchange-traded fund (ETF) from UBS, traded under the ticker 0HCP (ISIN LU1126036976). It lets you buy a basket of holdings in a single trade, spreading your money across them rather than one 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. Rather than a manager picking stocks, it simply replicates the MSCI EM index — the passive, low-cost approach, and its largest holdings include TAIWAN SEMICONDUCTOR MANUFAC, SAMSUNG ELECTRONICS CO LTD and SK HYNIX INC. By geography it is weighted towards ~19.5% Taiwan, ~14.4% South Korea and ~4.5% Cayman Islands.

Its heaviest sectors are ~33.9% Technology and ~2.8% Communication Services. 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 0.15% a year — about €15 a year on a €10,000 holding, taken automatically from the fund. It is a distributing share class — dividends are paid to you as cash rather than reinvested, and over the last year it paid out roughly 0.87% (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 USD.

Its price has swung about 22.7% 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.)