Franklin Templeton has launched an ETF offering European investors access to stocks in 25 developed economies, providing exposure to developed market equity growth.
The fund, Franklin FTSE Developed World Ucits ETF, targets large and mid-cap stocks in developed markets globally, is passively managed, and tracks the FTSE Developed Index-NR (net return), a market-capitalisation weighted index representing large and mid-cap companies in developed markets.
Surge in US stock investments calls for EU policy shift: Efama
Caroline Baron, head of ETF distribution, Emea at Franklin Templeton, commented: “Developed markets, which account for 40% of the world’s GDP and 74% of global equity market capitalisation, drew nearly $20 billion in ETF flows in 2023, making this strategy an attractive equity allocation for our clients.”
The Franklin FTSE Developed World Ucits ETF will list on the Deutsche Börse Xetra and London Stock Exchange tomorrow and on the Borsa Italiana on June 26, 2024. It is registered in multiple countries including Austria, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, Netherlands, Spain, Sweden and the UK.
Fidelity International forecasts hard landing in developed markets
According to the providers, the ETF provides European investors with cost-efficient, Ucits-compliant developed market equity exposure at a total expense ratio of 0.09%, “one of the lowest in its category”. Matthew Harrison, head of Americas (ex-US), Europe & UK, global advisory services at Franklin Templeton, said: “This new passive ETF offers international and highly diversified equity exposure and can provide the core equity building block within an investor’s allocation.”
The fund will be managed by Dina Ting, head of global index portfolio management, and Lorenzo Crosato, ETF portfolio manager at Franklin Templeton.
