Xtrackers II Eurozone Inflation-Linked Bond UCITS ETF 1C

Xtrackers II Eurozone Inflation-Linked Bond UCITS ETF 1C is an exchange-traded fund that tracks the performance of the Bloomberg Euro Government Inflation-Linked Bond Index, focusing on EUR-denominated inflation-linked bonds issued by Eurozone governments. Its primary purpose is to provide investors with exposure to sovereign and sub-sovereign inflation-protected fixed income securities with maturities exceeding one year, helping preserve purchasing power against inflation in the Eurozone. The ETF employs a synthetic replication strategy using derivatives like swap agreements to mirror the index, investing in investment-grade bonds rated BBB- or higher by S&P/Fitch and Baa3 or above by Moody's. Top holdings include prominent issuances such as France's OAT€i bonds (e.g., 2.4827% due 2027 at 5.7%, 0.1% due 2029 at 4.57%) and Germany's Bund€i (0.5% due 2030 at 4.71%), alongside Spanish OBL IDX and Italian BTP€i bonds, reflecting broad diversification across key Eurozone issuers. Domiciled in Luxembourg and launched in June 2007, it features an accumulating distribution policy, a low total expense ratio of 0.15% p.a., and manages approximately EUR 394 million in assets, playing a vital role in fixed income portfolios for inflation hedging within the Eurozone government bond market.