(XUTD) Xtrackers II US Treasuries - Ratings and Ratios

The Xtrackers II US Treasuries UCITS ETF 1D CHF is designed to mirror the performance of the IBOXX $ TREASURIES index, which tracks the tradable debt issued by the US government in USD. The index includes bonds with a minimum maturity of 18 months at issuance and at least one year remaining at rebalancing, with a minimum outstanding amount of $1 billion.

From a quantitative perspective, key performance indicators (KPIs) for this ETF include its tracking error, which measures the deviation of the ETFs returns from the underlying index. A lower tracking error indicates a more effective replication of the index. Additionally, the ETFs duration and yield to maturity are crucial metrics, as they provide insight into the funds sensitivity to interest rate changes and its potential return. Given the ETFs focus on US Treasuries, its credit risk is minimal, but it is still exposed to interest rate risk.

The ETFs assets under management (AUM) stand at $1.29 billion USD, indicating a sizable presence in the market. The fund is managed by Deutsche Asset Management (UK) Limited, which employs a replication strategy to track the index. The total return calculation methodology of the index, which reinvests amounts equivalent to interest payments, is also noteworthy, as it reflects the actual return an investor can expect.

To evaluate the ETFs performance, one can analyze its historical returns against the benchmark index, Morningstar US Govt Bd TR USD. Metrics such as the ETFs Sharpe ratio, which assesses risk-adjusted returns, and its information ratio, which evaluates the funds excess returns relative to the benchmark, can provide valuable insights. Furthermore, comparing the ETFs expense ratio to its peers can help determine its cost-effectiveness.