In a response to the strengthening of European markets Source has launched a new Europe ex-UK exchange traded fund (ETF).
The Source MSCI Europe ex-UK UCITS ETF offers diversified exposure to large and medium companies across 14 developed market economies.
The fund will have an ongoing charge of 0.2% a year.
‘Many of our investors use ETFs because they offer the ability to target specific exposures. For instance, some investors may want to separate their exposures to Europe and the UK, especially after last week’s election resulted in a hung Parliament,’ said Chris Mellor, product specialist at Source.
This ETF is the latest addition to the firm’s suite of core portfolio funds—which seek to deliver effective, low-cost exposure to popular benchmarks.
In April this year, fund giant Invesco sealed a deal to buy Source.
The transaction is expected to completed in the third quarter of this year and is rumoured to have cost Invesco $500 million (£393 million)—includes approximately $18 billion worth of Source assets, plus around $7 billion in externally managed AUM (as of March 31, 2017).