Ossiam Shiller Barclays CAPE® Europe Sector Value TR UCITS ETF 1C (EUR) (USCP)

Overview

Ossiam Shiller Barclays CAPE® Europe Sector Value TR UCITS ETF 1C (EUR) is an innovative exchange-traded fund designed to track the Barclays CAPE Europe Sector Value index. This ETF provides investors with tailored exposure to undervalued sectors of the European equity market by utilizing the Cyclically Adjusted Price-to-Earnings (CAPE®) ratio, a valuation metric developed by Nobel laureate Robert Shiller. The CAPE® ratio helps to pinpoint sectors where current prices are perceived to be low in comparison to long-term average earnings, thereby facilitating a dynamic sector rotation strategy that is deeply rooted in value investing principles.

With the aim of capturing potential returns from undervalued companies across various industries in Europe, this ETF allocates significant portions of its investments to key sectors including financials (25.2%), property (12.6%), industrials (10.6%), and a diverse array of other sectors (51.6%). The bulk of its investments are focused on companies based in Europe ex-UK (96.5%) while maintaining a smaller exposure to the rest of the world (3.5%). Issued by Ossiam, an affiliate of Natixis Investment Managers that specializes in smart beta and quantitative strategies, this Luxembourg-domiciled ETF reinvests dividends (accumulating) and is denominated in euros without the provision of currency hedging. Launched around 2015, it is an ideal solution for portfolios seeking value-driven opportunities across the diverse segments of Europe's equity market.

Products and Services

• Ossiam Shiller Barclays CAPE® Europe Sector Value TR UCITS ETF 1C (EUR)

  This flagship product is an exchange-traded fund that leverages the CAPE® methodology to offer investors unique access to undervalued sectors in the European market. By focusing on price relative to earnings, this ETF aims to maximize returns through strategic sector selection.

• Sector Allocation Strategy

  The ETF employs a dynamic sector rotation strategy that prioritizes investments in sectors identified as undervalued based on the CAPE® ratio. This approach seeks to capitalize on potential price recoveries in financials, property, and industrials, thereby enhancing overall portfolio performance.

• Dividend Accumulation

  This fund accumulates dividends rather than distributing them, enabling the compounding of returns over time. This strategy is advantageous for investors looking to grow their investments without taking immediate payouts.

• Focus on European Markets

  With a significant allocation towards companies in Europe ex-UK (96.5%), the ETF is specialized to provide exposure to key European economies, making it particularly relevant for investors targeting growth in this region.

• Quantitative Investment Approach

  Ossiam's expertise in smart beta and quantitative strategies underpins the investment decisions made within the ETF. This analytical approach mitigates emotional investment choices and emphasizes research-driven decision-making.

• Accessibility and Transparency

  Investors can easily access this ETF through various trading platforms, benefiting from the transparency of ETF pricing and market dynamics. The accumulation strategy and clear alignment with value investing principles further enhance its appeal.