DWS, a leading European asset manager with global reach, today announced the launch of the Xtrackers S&P 500 Diversified Sector Weight ETF (NASDAQ: SPXD) (the "Fund"), expanding its suite of innovative, rules-based ETFs designed to address modern portfolio construction requirements. The ETF is available for trading on NASDAQ starting July 24, 2025. The Fund seeks investment results that correspond generally to the performance of the S&P 500 Diversified Sector Weight Index, which is designed to track the performance of the S&P 500 Index reweighted to mitigate concentration risk and address sector imbalances. This reweighting approach is intended to provide a return more representative of all the business opportunities inherent to the S&P 500, rather than a return tied principally to the business opportunities represented by the S&P 500's largest constituent companies. The Index's reweighting approach utilizes the Functional Information System (FIS ) framework developed by Syntax LLC ("Syntax"), a financial data and technology company that works directly with S&P Dow Jones Indices.
"Investors are seeking allocation alternatives that avoid the concentration risks that we're seeing in many large-cap benchmarks," said Salvador Gomez, Head of Xtrackers Sales Americas. "With SPXD, we're offering a balanced exposure to the S&P 500 by rethinking sector classification and weighting grounded in real business activity, not just labels."
"At S&P Dow Jones Indices, we are excited that DWS has selected the S&P 500 Diversified Sector Weight Index as the underlying benchmark for its new exchange-traded fund," said Rupert Watts, Head of Factors and Dividends at S&P Dow Jones Indices. "This index deploys Syntax's FIS taxonomy in an incredibly novel way, reweighting companies in the S&P 500 to enhance sector diversification and reduce individual stock concentration. We are proud of the innovation this index brings to the Factors and Dividends landscape and the access DWS is providing to such a high-quality index methodology."
Redefining Sector Exposure Through Revenue-Based Weighting
The S&P 500 Diversified Sector Weight Index equally weights eight primary FIS sectors (such as Information, Energy, and Food), then applies a hierarchical weighting methodology through deeper layers, from sub-sectors down to business activities. Each company's weight in the Index is ultimately based on the proportion of revenue it generates within business activities. Given this, the ETF seeks to provide a greater balance across sectors and improved stock-level diversification relative to both market cap and equal sector-weighted approaches. The Index and the ETF will rebalance on a quarterly basis.
"The Index doesn't just diversify by broad sectors or equally by number of stocks it seeks to diversify by economic reality," said Henry Wu, Head of Xtrackers Products US. "In a world where companies generate revenue across multiple business activities, SPXD addresses that complexity in a rule-based approach. With the volatility witnessed in the US equity market, it's a timely innovation for investors seeking economic diversification in equity exposure."
The Fund is competitively priced with net/gross expense ratios of 0.09%.
Xtrackers U.S., Global Product Suite, and AuM Update
Globally, Xtrackers by DWS is a large and established provider of high-quality exchange traded funds (ETFs) and exchange traded commodities (ETCs). Providing efficient "passive" exposure to diversified indices or to single commodities, Xtrackers ETFs and ETCs provide a comprehensive set of dependable investment tools for effective portfolio allocation.
Xtrackers U.S., Global Product Suite, and AuM Update
The addition of the S&P 500 Diversified Sector Weight ETF expands the Xtrackers U.S. productsuite to 41 funds, and as of June 30, 2025, approximately USD 27 billion in assets under management. Xtrackers globally now consists of over 170 UCITS ETFs as of July 16, 2025, with approximately EUR 250 billion in assets under management.
About DWS Group
DWS Group (DWS), with EUR 1,010bn of total assets under management (as of March 31, 2025), is a leading European asset manager with global reach. With approximately 4,700 employees in offices around the world, DWS offers individuals, institutions and large corporations access to comprehensive investment solutions and bespoke portfolios across the full spectrum of investment disciplines. Its diverse expertise in Active, Passive and Alternative asset management helps DWS to deliver targeted strategies for clients across all major liquid and illiquid asset classes.
IMPORTANT INFORMATION
ETF shares are not individually redeemable, and owners of shares may acquire those shares from the Fund or tender such shares for the redemption to the Fund in Creation Units only.
Consider the Fund's investment objective, risk factors and charges and expenses before investing. This and other important information can be found in the Fund's prospectus, which may be obtained by calling 1-844-851-4255 or by viewing or downloading a prospectus at www.Xtrackers.com Please read it carefully before investing.
The brand Xtrackers represents all systematic investment solutions. Xtrackers ETFs in the U.S. are managed by DBX Advisors LLC (the "Advisor") and distributed by ALPS Distributors, Inc. ("ALPS"). The Advisor is a wholly owned subsidiary of DWS Group GmbH Co. KGaA and is not affiliated with ALPS.
Because ETFs trade on a securities exchange, their shares may trade at a premium or discount to their net asset value. ETFs also incur fees and expenses so they may not fully match the performance of the indexes they are designed to track. Investing involves risk, including the possible loss of principal. Stocks may decline in value. An investment in the Fund should be considered only as a supplement to a complete investment program for those investors willing to accept the risks associated with the Fund. Please read the prospectus for more information.
Past performance is no guarantee of future results.
War, terrorism, sanctions, economic uncertainty, trade disputes, public health crises and related geopolitical events have led, and, in the future, may lead to significant disruptions in U.S. and world economies and markets, which may lead to increased market volatility and may have significant adverse effects on the Fund and its investments.
This press release shall not constitute an offer to sell or a solicitation to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such an offer or solicitation or sale would be unlawful prior to registration or qualification under the laws of such state or jurisdiction.
Certain statements contained in this release may be forward-looking in nature. These include all statements relating to plans, expectations, and other statements that are not historical facts and typically use words like "expect," "anticipate," "believe," "intend," and similar expressions. Such statements represent management's current beliefs, based upon information available at the time the statements are made, with regards to the matters addressed. All forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in, or implied by, such statements. Management does not undertake any obligation to update or revise any forward-looking statements, whether, as a result of new information, future events, or otherwise. The following factors, among others, could cause actual results to differ materially from forward-looking statements: (i) the effects of adverse changes in market and economic conditions; (ii) legal and regulatory developments; and (iii) other additional risks and uncertainties, including public health crises, war, terrorism, trade disputes and related geopolitical events.
NOT FDIC/ NCUA INSURED MAY LOSE VALUE NO BANK GUARANTEE
The brand DWS represents DWS Group GmbH Co. KGaA and any of its subsidiaries such as DWS Distributors, Inc., which offers investment products, or DWS Investment Management Americas, Inc., and RREEF America L.L.C., which offer advisory services.
To learn more about Xtrackers ETFs available in the U.S., please visit https://etf.dws.com/en-us/etf-products.
The S&P 500 Diversified Sector Weight Index is a product of S&P Dow Jones Indices LLC or its affiliates ("SPDJI") and has been licensed for use by the Advisor. S&P, S&P 500 , The 500, US 500 are trademarks of Standard Poor's Financial Services LLC ("S&P") and Dow Jones is a registered trademark of Dow Jones Trademark Holdings LLC ("Dow Jones"). These trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by the Advisor. It is not possible to invest directly in an index. The Fund is not sponsored or sold by SPDJI, Dow Jones, S&P, or any of their respective affiliates (collectively, "S&P Dow Jones Indices"). S&P Dow Jones Indices does not make any representation or warranty, express or implied, to the owners of the Fund or any member of the public regarding the advisability of investing in securities generally or in the Fund particularly or the ability of the S&P 500 Diversified Sector Weight Index to track general market performance. Past performance of an index is not an indication or guarantee of future results. S&P Dow Jones Indices' only relationship to the Advisor with respect to the S&P 500 Diversified Sector Weight Index is the licensing of the Index and certain trademarks, service marks and/or trade names of S&P Dow Jones Indices and/or its licensors. The S&P 500 Diversified Sector Weight Index is determined, composed and calculated by S&P Dow Jones Indices without regard to the Advisor or the Fund. S&P Dow Jones Indices have no obligation to take the needs of the Advisor or the owners of the Fund into consideration in determining, composing or calculating the Index. S&P Dow Jones Indices have no obligation or liability in connection with the administration, marketing or trading of the Fund. There is no assurance that investment products based on the S&P 500 Diversified Sector Weight Index will accurately track index performance or provide positive investment returns. S&P Dow Jones Indices LLC is not an investment adviser, commodity trading advisor, commodity pool operator, broker dealer, fiduciary, promoter" (as defined in the Investment Company Act of 1940, as amended), "expert" as enumerated within 15 U.S.C. 77k(a) or tax advisor. Inclusion of a security, commodity, crypto currency or other asset within an index is not a recommendation by S&P Dow Jones Indices to buy, sell, or hold such security, commodity, crypto currency or other asset, nor is it considered to be investment advice or commodity trading advice.
R-106768-1 (07/25) DBX6786 (07/25)
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Contacts:
For further information please contact:
Nick Bone
+44 (20) 754-72603
nick.bone@dws.com
