Tokyo, September 2, 2022 – Nomura Asset Management Co., Ltd. (NAM), the core company within the Investment Management Division of Nomura Group, today announced that it has listed new ETFs designed to track the performance of the EURO STOXX 50® Monthly Hedged JPY TTM and DAX® Monthly Hedged JPY TTM on the Tokyo Stock Exchange (TSE). From today, investors can trade the ETFs on the TSE through securities dealers and traders in Japan.
|2859||NEXT FUNDS EURO STOXX 50 (Yen-Hedged) Exchange Traded Fund||EURO STOXX 50® Monthly Hedged JPY TTM||0.198%|
|2860||NEXT FUNDS German Equity DAX (Yen-Hedged) Exchange Traded Fund||DAX® Monthly Hedged JPY TTM||0.198%|
The ETFs are the first Japan-domiciled ETFs designed to track the performance of Eurozone stock indices in Japan. With the listing of the ETFs, investors are able to invest in Eurozone stocks, US stocks, Asian stocks, and other global stocks via Nomura’s NEXT FUNDS. The ETFs are hedged to mitigate currency risk.
NAM listed its first ETF in Japan in May 1995. The new listings bring ETFs in Nomura’s NEXT FUNDS range to a total of 65.
Disclaimer of “EURO STOXX 50® Monthly Hedged JPY TTM”
The EURO STOXX 50® Monthly Hedged JPY TTM is the intellectual property (including registered trademarks) of STOXX Limited, Zurich, Switzerland (“STOXX”), Deutsche Börse Group or their licensors, which is used under license. The NEXT FUNDS EURO STOXX 50 (Yen-Hedged) Exchange Traded Fund is neither sponsored nor promoted, distributed or in any other manner supported by STOXX, Deutsche Börse Group or their licensors, research partners or data providers and STOXX, Deutsche Börse Group and their licensors, research partners or data providers do not give any warranty, and exclude any liability (whether in negligence or otherwise) with respect thereto generally or specifically in relation to any errors, omissions or interruptions in the EURO STOXX 50® Monthly Hedged JPY TTM or its data.
Disclaimer of “DAX® Monthly Hedged JPY TTM”
Qontigo Index GmbH (“QIG”) is the source of DAX® Monthly Hedged JPY TTM and the data comprised therein. QIG, Deutsche Börse Group or their licensors has not been involved in any way in the creation of any reported information hereunder and does not give any warranty and excludes any liability whatsoever (whether in negligence or otherwise) – including without limitation for the accuracy, adequateness, correctness, completeness, timeliness, and fitness for any purpose – with respect to any reported information or in relation to any errors, omissions or interruptions in the DAX® Monthly Hedged JPY TTM or its data. Any dissemination or further distribution of any such information pertaining to QIG is prohibited.
Disclaimer of Nomura Asset Management
The contents of this material are based on an English translation of a Japanese announcement made on September 2, 2022 by Nomura Asset Management Co., Ltd. Whilst every effort has been made to translate the Japanese document into English, the accuracy and correctness of this translation are not guaranteed, therefore please refer to the original Japanese document.
Please note that the information contained in this document is for reference purposes only and does not constitute an offer to sell or the solicitation of an offer to buy securities by Nomura Asset Management Co., Ltd. to any person in Japan and does not constitute a distribution, an offer to sell or the solicitation of an offer to buy any securities or provide any services in any jurisdiction in which such distribution or offer is not authorized.
Furthermore, none of the shares of the Fund have been or will be registered under the United States Securities Act of 1933, as amended (“1933 Act”), or under the securities laws of any state or political subdivision of the United States of America or any of its territories, possessions or other areas subject to its jurisdiction including the Commonwealth of Puerto Rico (the “United States”). The Fund has not been and will not be registered under the United States Investment Company Act of 1940, as amended, nor under any other US federal laws.
Accordingly, the information in this document is not made or directed to any person in the United States and under no circumstance shall the provision of the information on this document be deemed to constitute an offer of securities or an offer to provide any services to any person in the United States or to any U.S. Person as the term is defined under 1933 Act.
Furthermore, the information in this document is not made or directed to any person in the United Kingdom and under no circumstances shall the provision of the information in this document be deemed to constitute an offer of securities or an offer to provide any services to any person in the United Kingdom.
Disclosures required in Japan
ETF Investment Risks
Since the Fund invests primarily in securities and futures contracts, there is a risk that the market price of such securities or the NAV per unit of the Fund could decline and cause an investment loss due to a decline in the index, a price decline in securities comprising the index, the bankruptcy of a security issuer, or deterioration in the financial conditions of an issuer, in addition to other market factors.
Also, because some securities in the Fund are influenced by exchange rates, the NAV may fall due to fluctuations in the foreign exchange rate. An investor’s principal is therefore not guaranteed.
Furthermore, investment trusts are different from deposits and savings.
ETF risks are not limited to the above.
Before investing in the Fund, prospective investors should carefully read the summary prospectus and base decisions on their own judgement.
ETF Investment Costs
An investor shall bear the following costs when investing in the Fund.
Trading of the Fund incurs brokerage commission fees set by a Type-1 financial instruments business provider (securities firm) that handles the transaction. These commissions are separate from the actual transaction value. (Because the commissions charged by each securities firm differ, it is not possible to specify a maximum amount.)
The total management fee is obtained by adding the amount determined in (2) below to the amount determined in (1) below. Management fees are paid from the trust assets, and therefore are charged indirectly according to the period that the ETF is held.
(1) The amount obtained by multiplying the total net assets by a rate determined by the Management Company not to exceed 1.045% annually* (0.95% exclusive of taxes).
The maximum management fee of each ETF is indicated above. For some ETFs, the management fees are calculated based on the Fund’s principal.
(2) If the securities belonging to the trust assets have been loaned, an amount no more than 55%* (50% exclusive of taxes) of the loan fees.*
The highest loan fee of the ETFs is indicated.
ETF-related taxes, expenses necessary for trust administrative procedures (including various expenses necessary for safekeeping of overseas assets), interest on advances provided by the trustee, sales consignment fees incurred when securities included in the fund are traded, audit fees, other expenses (including expenses relating to listing of Beneficiary Interests and fees for the use of trademarks to subject indexes), and consumption taxes on these fees are incurred, when applicable, during the trust period. These expenses are paid from the trust assets and are charged indirectly during the period that the ETF is held. Other expenses will vary according to investment circumstances, and consequently, rates and maximum amounts cannot be specified in advance.
The total amount of the above fees and expenses will vary according to investment duration, so they cannot be specified ahead of time.
For further details, please refer to the “Fund Expense and Taxes” section of the summary prospectus.
Nomura Asset Management Co., Ltd. does not directly handle order requests for the Fund from investors. To invest in the Fund it is necessary to open an account with a nearby Type-1 financial instruments business provider (securities firm) that handles ETFs and make a request to the broker.
Registered Company Name: Nomura Asset Management Co., Ltd.
Registration Number: Director of the Kanto Local Financial Bureau (Financial instruments firms) No. 373
Member Associations: The Investment Trusts Association, Japan; Japan Securities Investment Advisers Association; Type II Financial Instruments Firms Association