ABOUT ITSW
Key Features
ITSW is the first fund in the history of the Astana International Financial Centre (AIFC) to be developed and listed in this jurisdiction. Created by the management company IPS Capital, ITSW aims to track the price and yield performance of the ITS World Index.
The ITSW portfolio is widely diversified across sectors and regions, which gives investors from Kazakhstan, Central Asia and nearby regions a unique opportunity to invest in leading global assets, gathered in one compact basket.
ITSW
ITSW ETF provides
Basic high yield, comparable to the yield of top foreign funds (SPY, VOO, QQQ).
Resilience to individual country risks through geographic diversification.
High liquidity due to the inclusion of the most popular securities.
|
Type |
Passive following The ITS World index |
|
Fund's underlying assets |
Shares of large capitalization companies |
|
Benchmark index |
ITS World INDEX |
|
Ticker |
ITSW |
|
Management company |
IPS Capital Ltd.(Kazakhstan) |
|
Number of components in the benchmark index |
Shares of 50 companies |
|
Asset structure |
Stocks of companies from key sectors of the global economy (technology, finance, healthcare, industrials, consumer goods, etc.) |
|
Management style |
Passive management (following the ITS World index) |
|
Allocation limits |
The share of each security in the fund corresponds to its weight in the index and is capped at 10% |
|
Management fee (Total Expense Ratio, TER) |
0,2% per year |
|
Dividends |
Dividends paid by shares in the fund's portfolio are capitalized (i.e., not paid out but reinvested to increase the value of the ETF) |
|
Currency |
US Dollar (USD) |
|
Exchanges where the fund's shares are traded |
ITS, AIX |
|
Exchange/MTF |
Listing Date |
Trading Currency |
Ticker |
CFI code, ISO 10962:2015 |
ISIN |
|
AIX |
06.11.2024 |
USD |
ITSW |
CMOXES |
KZX000002878 |
|
ITS |
07.11.2024 |
USD |
ITSW |
CMOXES |
KZX000002878 |
|
Trading venues |
ITS, AIX |
|
Stock ticker |
ITSW |
|
Trading hours |
10-00 – 03-45 Astana time |
|
Lot |
1 lot = 1 share |
|
Minimum price step (tick) |
0,0001 |
|
Price currency |
USD |
|
Delivery currency |
USD |
Benchmark
The ITS World Index is market capitalization weighted and is designed to measure the performance of the large-capitalization equity segment in the global stock market.
The ITS World Index includes 50 of the world's largest companies by capitalization and covers America, Europe, Asia, including Kazakhstan.
The ITS World Index has a concentration limit of 10% for each company included in the index. If the weight share of one or more companies exceeds 10% on the day of index portfolio rebalancing, the excess percentage is redistributed proportionally among companies in the same region.
The benchmark index has weights for securities of companies in each region. Within the regional weights, companies with the largest capitalization are included in the index. The share of securities of the American region in the fund's portfolio is 38%, Europe — 28%, Asia — 30%, Kazakhstan — 4%.
ITS World Index vs Global Leading Indices
Based on backtesting, the ITS World Index has confirmed its broad diversification:
About 30% of the index is occupied by approximately 20% of companies (in comparison, in the S&P 500 this share is occupied by 2% of issuers).
Regional diversification ensures the stability of the Index when some markets fall and others grow and vice versa. Additionally, the index benefits from the dynamics of shares of large companies in Central Asia.
Due to the different economic specializations of the world's regions, the index also provides industry diversification.
|
Index |
01.01.2024 - 08.11.2024 |
2021 |
2022 |
2023 |
All-time |
|
ITS World |
18,67% |
17,40% |
-23,45% |
28,29% |
100,32% |
|
Hang Seng |
21,67% |
-14,56% |
-15,50% |
-13,92% |
-14,17% |
|
Nasdaq 100 |
20,46% |
26,63% |
-32,97% |
53,81% |
122,69% |
|
S&P 500 |
21,43% |
26,89% |
-19,44% |
24,23% |
101,03% |
Geographical diversification
The ITS World Index includes 50 largest companies by capitalization in America, Europe, Asia, including Kazakhstan.
To eliminate regional imbalances, the index sets weights for various regions based on the integral indicator of the size of the economy and capitalization of the stock market.
The weight of each issuer cannot exceed 10%.
In general, the price of an ETF share can either rise or fall in line with the movement of the benchmark index. The purchase or sale of ETF shares is usually carried out on the stock exchange through a broker; ETF shares cannot be individually presented to the Management Company for sale or exchange for a corresponding block of shares.
Management Company for sale or exchange for a corresponding block of shares. Please review the Please review the Fund Constitution and Offering materials on this matter.
The value of shares included in the ITSW ETF may fluctuate and decrease significantly as a result of the activities of the respective issuers, as well as due to changes in the market or economic situation.
The Fund employs a passive investment strategy and pursues a full representation of the ITS World Index, mirroring the index's constituents as closely as possible in terms of security composition, risk factors and other characteristics. However, any passively managed index fund, due to temporary reasons, the need to round off the values of the number of securities in the portfolio and other factors, has minimal differences from the index, which is a mathematical model. These differences constitute the so-called tracking error, which fund managers try to minimize but which cannot be eliminated completely. Although the shares in the ITSW ETF are highly liquid securities traded on a global market, during periods of sharply deteriorating market conditions they may trade at significant spreads and discounts to the underlying values of the index. This can impact the tracking error, net asset value per share (NAV), and market value of the ETF shares.
ETF shares trade like other stocks and have important characteristics of other stocks, including investment risk and market value volatility, and therefore may trade at prices both above and below the net asset value per share (NAV). Brokerage commissions are not included in the TER value and can also reduce the financial results of investing.
Before making an investment decision, please study the investment objectives of ITSW ETF, the composition of securities, risks, the level of fees of the Management Company and the broker (exchange or MTF). Carefully read the offering materials and other documents of the fund on the website of the Management Company.
Investments in ITSW ETFs may be subject to the influence of general economic conditions, market fluctuations, and risks inherent in investing in the securities markets. The prices of investment instruments may change significantly due to a number of factors, including economic growth or recession, changes in interest rates and exchange rates, changes in the objective or perceived credit quality of issuers, general market liquidity, geopolitical events, and other factors. Local, regional and global events such as wars, terrorist attacks, pandemics, etc. may have a significant impact on the ITSW ETF and its related investments.