Investment Universe

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How Your Portfolio is Put Together.

We Invest in All Major, Global Assets Classes for You.

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Equities

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Government Bonds

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Corporate Bonds

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Commodities

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Real Estate

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Cash

Your Global ETF Portfolio.

Access to these asset classes is gained exclusively through Exchange Traded Funds (ETFs), which in turn, invest into 8,000 individual securities across approximately 90 countries.

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Ready to Invest for Your Future?

No lock-in, no hidden fees, full transparency.

What Are ETFs?

Exchange Traded Funds are investment funds which track the performance of a market index, such as the FTSE 100. They are therefore also known as index funds. An ETF grants a broad access to stocks, bonds and other asset classes.

ETFs are much less expensive than actively managed mutual funds, as they do not incur expensive management fees. Since ETFs are traded on a stock exchange, they also offer far greater liquidity.

Why Do We Exclusively Use ETFs?

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Broad
Diversification

ETFs are an ideal investment vehicle, as it is possible in a single transaction to invest in a whole region or asset class. They allow investors to build diversified portfolios without having to hold thousands of individual securities.

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Low
Costs

The ETFs used by Scalable Capital have a total cost of 0.07% to 0.50% p.a. (0.25% p.a. on average), which corresponds to a cost saving of over 75% compared to conventional funds.

(Investment Management Association, own calculation)
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High Liquidity
and Transparency

Exchange Traded Funds are highly liquid. They also offer a high degree of transparency: on a daily basis investors can see the securities held by an ETF, its performance and the costs incurred.

How Does Scalable Capital Choose Your ETFs?

In order to choose from a universe of over 1,500 ETFs, we use a multi-stage process. Important quantitative and qualitative criteria are:

Low
Costs

Selection based on Total Expense Ratio (total cost of tracking the index) and total cost of ownership (external trading costs, bid-ask spreads, taxes).

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High
Liquidity

High investment volumes and trading liquidity reduce the bid-ask spreads of the ETFs. This reduces trading costs and Total Expense Ratio.

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Low Tracking Error

The tracking error indicates the accuracy of tracking the index. We prefer ETFs with less deviation from the performance of the underlying index.

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Replication Method

We prefer physically replicating ETFs over synthetic ETFs. Only in certain asset classes (e.g. Commodities) do we use synthetically replicating ETFs.

Scalable Capital’s Investment Universe.

Our current investment universe includes the below ETFs. The weights of the ETFs differ for each client depending on the investment strategy.

 

Asset Class

ETF

Number of Securities

Total Costs p.a. (TER)

Shares

European Shares

Vanguard FTSE Developed Europe UCITS

527

0.12%

US Shares

Vanguard S&P 500 UCITS

505

0.07%

Japanese Shares

Vanguard FTSE Japan UCITS

481

0.19%

Asia Pacific Shares

Vanguard FTSE Developed Asia Pacific ex Japan UCITS

370

0.22%

Emerging Market Shares

iShares Core MSCI Emerging Markets IMI UCITS

1910

0.25%

Real Estate

Global Real Estate

iShares Developed Markets Property Yield UCITS

299

0.59%

Corporate Bonds

US Corporate Bonds

iShares $ Corporate Bond UCITS

1,546

0.20%

European Corporate Bonds

iShares Core Euro Corporate Bond UCITS

1,759

0.20%

Government Bonds

UK Government Bonds

iShares Core UK Gilts UCITS

40

0.20%

UK Government Bonds

iShares UK Gilts 0-5yr UCITS

14

0.20%

US Government Bonds

iShares $ Treasury Bond 7-10yr UCITS

12

0.20%

European Government Bonds

iShares Core Euro Government Bond UCITS

303

0.20%

Emerging Markets Government Bonds

iShares J.P. Morgan $ Emerging Markets Bond UCITS

299

0.45%

Commodities

Global Commodities

ETFS Longer Dated All Commodities GO UCITS

22

0.30%

Ready to Invest for Your Future?

No lock-in, no hidden fees, full transparency.