Amundi Smart Overnight Return UCITS ETF Acc - GBP Hedged

Amundi Smart Overnight Return UCITS ETF Acc - GBP Hedged is an actively managed exchange-traded fund designed to provide investors with returns closely linked to overnight money market rates, using the Euro Short-Term Rate (€STR) as its benchmark. Primarily, it invests in a diversified portfolio of short-term financial instruments, including money market securities, repurchase agreements, and derivatives, all within a robust risk and liquidity management framework. A notable aspect of this ETF is its daily currency hedging strategy, which aims to minimize the impact of fluctuations between the British Pound and the euro, the currency of the benchmark index. This makes the fund particularly suited for investors seeking to maintain GBP exposure while accessing euro-denominated money market returns. The ETF adopts an accumulating distribution policy, meaning that any interest or income generated is continuously reinvested, and employs synthetic replication to track its benchmark. Its very low total expense ratio of 0.10% per annum positions it as a cost-effective cash management tool within a portfolio, providing liquidity and stability with minimal volatility for institutions or individuals managing short-dated cash allocations or seeking a euro overnight rate proxy in GBP terms.