(MDBU) UBS(Lux)Fund Solutions – - Ratings and Ratios

UBS (Lux) Fund Solutions – Sustainable Development Bank Bonds UCITS ETF (USD) A-dis (XETRA:MDBU) is an exchange-traded fund designed to track the performance of the Solactive Global Multilateral Development Bank Bond USD 25% Issuer Capped Index (Total Return). This index focuses on bonds issued by multilateral development banks, which are organizations established to support economic and social development in emerging markets. The fund also offers currency-hedged share classes, which use forward contracts to mitigate currency risk between the funds reference currency and the index currency.

The ETF provides exposure to a diversified portfolio of government-related bonds, primarily denominated in USD, with a focus on issuers that align with sustainable development goals. The funds index is capped at 25% per issuer to ensure diversification and reduce concentration risk. The currency-hedged share classes aim to deliver returns consistent with the underlying index, independent of currency fluctuations.

From a technical perspective, the ETF has shown low volatility, with an Average True Range (ATR) of 0.05, indicating stable price movements. The funds short-term and medium-term moving averages (SMA 20: 10.14, SMA 50: 10.13) suggest a flat to slightly upward trend. The SMA 200 (9.77) reflects longer-term stability, with the ETF trading near its recent highs. Average daily volume is moderate at 1,422 shares over the past 20 days, providing sufficient liquidity for most investors.

Fundamentally, the ETF has assets under management (AUM) of €109.39 million, indicating a reasonable scale to maintain market presence. The funds focus on multilateral development bank bonds aligns with the growing demand for sustainable and impact-focused investment products. The inclusion of bonds from institutions like the World Bank and other regional development banks adds a layer of credit quality, as these issuers typically carry high credit ratings.

Looking ahead, over the next three months, the ETF is expected to maintain its stable performance, supported by the low volatility of its underlying assets. Based on , the SMA 20 and SMA 50 suggest continued range-bound trading, with potential for slight upside if global bond markets remain stable. From a perspective, the funds AUM growth could continue, driven by increasing investor interest in sustainable fixed-income products. Overall, the ETF is positioned to deliver steady returns with minimal volatility, making it suitable for risk-averse investors seeking exposure to the development bank bond market.