DWS has launched an MSCI global equity ETF in partnership with German investment platform Scalable Capital. 

The Xtrackers Scalable MSCI AC World Xtrackers UCITS ETF (SCWX) will list on Deutsche Borse in the coming weeks with a total expense ratio (TER) of 0.17%.  

Scalable Capital will provide advisory services with regard to the construction of the portfolio.  

The ETF tracks the MSCI ACWI index, capturing large and mid-cap companies from developed and emerging markets representing around 85% of global listed market capitalisation. 

It does this by investing in a mix of securities that replicate the index or using derivatives to achieve similar returns.  

The index is rebalanced quarterly and was launched to specifically target retail investors.  

A spokesperson from DWS said: “Scalable Capital has been appointed as a portfolio construction consultant with regard to the use of different replication methods, including for the respective regions. The aims of this approach are more precise index replication overall and greater efficiency.  

“The ETF is one of the first products in the world to combine different replication methods. The performance of European and Japanese equities, for example, is currently modelled by purchasing physically replicating ETFs. For US equities and emerging markets, the performance of the markets is represented by indirect replication.” 

In July, Scalable Capital expanded its partnership with Amundi to offer 300 ETFs, covering all major asset classes, geographies and its climate and thematic strategies. 

Elsewhere, Scalable Capital saw its client assets double to €20bn within 18 months, fuelled by the rapid adoption of ETFs among European investors with two-thirds of customer assets invested in ETFs.