USNZ
Xtrackers Net Zero Pathway Paris Aligned US Equity ETF
📎 Investment Objective
The Xtrackers Net Zero Pathway Paris Aligned US Equity ETF (USNZ) seeks to track the performance of a benchmark index that provides exposure to US equities while aligning with the goals of the Paris Agreement on climate change.
Overview
ETF tracking Xtrackers Net Zero Pathway Paris Aligned US Equity ETF
Performance
Price Chart
Investment Summary
📎 Investment Objective
The Xtrackers Net Zero Pathway Paris Aligned US Equity ETF (USNZ) seeks to track the performance of a benchmark index that provides exposure to US equities while aligning with the goals of the Paris Agreement on climate change.
🎯 Investment Strategy
USNZ invests in a portfolio of US stocks that are selected and weighted to reduce the fund's carbon footprint and greenhouse gas emissions compared to a broad US equity index. The fund aims to achieve net zero emissions by 2050 in line with the Paris Agreement targets.
✨ Key Features
- Targets net zero greenhouse gas emissions by 2050 to align with the Paris Agreement
- Invests in a portfolio of US stocks selected and weighted for reduced carbon footprint
- Tracks a benchmark index designed to meet EU Paris-Aligned Benchmark requirements
- Expense ratio of 0.00% makes it a low-cost option for sustainable US equity exposure
⚠️ Primary Risks
- Potential for underperformance compared to a broad US equity index due to the sustainability focus
- Concentration risk as the fund is limited to US equities
- Reliance on third-party data and methodologies to determine index constituents and weightings
- Liquidity risk due to the fund's small asset size and trading volume
👤 Best For
USNZ may be suitable for investors seeking US equity exposure aligned with the goals of the Paris Agreement on climate change. It could be a component of a diversified portfolio for investors with a long-term investment horizon and a focus on sustainable investing.