The iShares Global Industrials ETF (EXI) tracks the performance of companies that are crucial to the industrials sector of the global economy. These companies are selected by the index provider based on their significance to global markets.
The fund's investment strategy is designed to closely follow its underlying index. To achieve this, the fund will typically allocate at least 80% of its assets to the same securities that make up its underlying index. Additionally, the fund may invest in other securities that have similar economic characteristics to the index components. This approach helps to ensure that the fund's performance is aligned with the broader industrials sector.
The fund also has the flexibility to invest up to 20% of its assets in certain derivatives, such as futures, options, and swaps, as well as cash and cash equivalents. This allows the fund to manage risk, gain exposure to specific markets, or take advantage of investment opportunities that arise.
The iShares Global Industrials ETF is listed on the NYSE Arca exchange and is domiciled in the United States. For more information about the fund, you can visit the iShares website at http://www.ishares.com.