UBS Asset Management has listed the UBS ETF (IE) MSCI USA Select Factor Mix UCITS ETF on the London Stock Exchange.
The alternative beta ETF offers investors exposure to large, mid and small-cap US equities with a range of factor tilts built in.
The UBS MSCI USA Select Factor Mix ETF aims to track the price and yield performance of the MSCI USA Select Factor Mix Index. The benchmark is an alternatively weighted index, whose constituents are weighted according to specific risk premia, also known as ‘factor tilts’. These include value, quality, momentum, volatility, size and yield. This multi-factor index is based on the MSCI USA IMI Index and captures large, mid and small-cap exposure across US equity markets.
Andrew Walsh, head of passive and ETF specialist sales UK & Ireland, says: “Investors are increasingly seeing alternative beta as an important component of portfolios and assets in factor ETFs and ETPs now total more than USD 500 billion globally.
“This new ETF allows investors to gain access to US equities via an index which employs a set of factor-screens which aims to improve returns, reduce risk and enhance diversification.”