BlackRock’s ETF brand, iShares, has now launched an ETF offering access to UK real estate on Xetra, Deutsche Börse’s electronic securities trading system.
The ETF, which is Ucits compliant, participates directly in the performance of the securities which include UK REITs, real estate companies and liquid fixed-income securities.
It’s benchmark is the MSCI UK Liquid Real Estate Index. In order to reduce the effects of leverage from the the REITs, volatility and equity market performance on returns, the fund makes use of inflation-linked UK government bonds.
It has a distributing policy and ongoing charges of 0.40 %.