iShares Dow Jones Industrial Average UCITS ETF (Acc)
Key Points
- The iShares Dow Jones Industrial Average UCITS ETF (Acc) is an exchange-traded fund (ETF) that tracks the Dow Jones Industrial Average (DJIA).
- The ETF is designed to provide investors with exposure to the performance of the 30 largest publicly traded companies in the United States.
- The ETF has been on a steady upward trend since its inception in 2003 and has outperformed the DJIA on a number of occasions.
What is the iShares Dow Jones Industrial Average UCITS ETF (Acc)?
The iShares Dow Jones Industrial Average UCITS ETF (Acc) (ticker: IDJA) is an ETF that tracks the DJIA. It is an open-ended investment company with variable capital. The ETF was launched in 2003 and is managed by BlackRock Fund Advisors.
The IDJA's investment objective is to provide investors with exposure to the performance of the DJIA. Its benchmark is the DJIA, which is a price-weighted index of 30 of the largest publicly traded companies in the United States. The IDJA invests in all of the companies included in the DJIA and its portfolio is reviewed and reconstituted annually.
The IDJA is a passively managed ETF, which means that it does not attempt to outperform the DJIA. Instead, its goal is to provide investors with a low-cost and convenient way to track the performance of the index.
How does the iShares Dow Jones Industrial Average UCITS ETF (Acc) work?
The IDJA is an ETF, which means that it is a type of investment fund that is traded on a stock exchange. ETFs are similar to mutual funds, but they offer a number of advantages, including lower costs and greater flexibility.
The IDJA invests in all of the companies included in the DJIA. Its portfolio is reviewed and reconstituted annually to ensure that it remains aligned with the DJIA. The IDJA is a passively managed ETF, which means that it does not attempt to outperform the DJIA. Instead, its goal is to provide investors with a low-cost and convenient way to track the performance of the index.
Investors can buy and sell the IDJA on the stock exchange like any other stock. The IDJA's price fluctuates throughout the trading day, depending on the supply and demand for the ETF.
What are the benefits of investing in the iShares Dow Jones Industrial Average UCITS ETF (Acc)?
There are a number of benefits to investing in the IDJA, including:
- Diversification: The IDJA provides investors with exposure to a diversified portfolio of 30 of the largest publicly traded companies in the United States. This reduces the risk of any one company having a significant impact on the overall performance of the ETF.
- Low cost: The IDJA has a low expense ratio of 0.25%, which makes it one of the most cost-effective ETFs available.
- Convenience: The IDJA is traded on the stock exchange like any other stock, making it easy for investors to buy and sell the ETF.
- Tax efficiency: The IDJA is an UCITS ETF, which means that it is tax-efficient for investors in the European Union.
What are the risks of investing in the iShares Dow Jones Industrial Average UCITS ETF (Acc)?
There are a number of risks to investing in the IDJA, including:
- Market risk: The IDJA is subject to market risk, which means that its price can fluctuate depending on the overall performance of the stock market.
- Sector risk: The IDJA is heavily concentrated in the financials sector, which means that it could be negatively impacted by a downturn in the financial markets.
- Currency risk: The IDJA is denominated in euros, which means that its price could be affected by changes in the value of the euro relative to other currencies.
