iSharesilta kolme uutta faktorit ja vastuullisuuden yhdistävää rahastoa

iShares laajentaa ETF-valikoimaansa kolmella uudella rahastolla. Ympäristön, yhteiskunnan ja hallintotavan (ESG) huomioivat tekijät yhdistyvät näissä minimivolatiliteetin faktoristrategioihin, joiden kysyntä on kasvussa. Uudet rahastot ovat jälleen yksi askel BlackRockin pyrkimyksessä tehdä vastuullisuudesta normi sijoittamisessa ja laajentaa vastuullisen sijoittamisen indeksituotteiden valikoimaa. BlackRock odottaa 1,2 biljoonan dollarin uusia sijoituksia vastuullisen sijoittamisen indeksituotteisiin seuraavan vuosikymmenen aikana.

Sijoitukset ESG- ja minimivolatiliteetin strategioihin kiihdyttävät kasvuaan, kun markkinoiden myllerrys testaa salkkujen kestokykyä. Pelkästään globaaleihin vastuullisiin ETF:iin sijoitettiin vuoden 2020 ensimmäisen neljänneksen aikaan yhteensä 14,8 miljardia dollaria, mikä on yli kolme kertaa enemmän kuin vuoden 2019 ensimmäisen neljänneksen aikana*. Sijoittajat ovat myös ryhtyneet käyttämään iSharesin faktoristrategioita tiettyjen riskiin ja tuottoihin vaikuttavien tekijöiden hyödyntämiseksi salkuissaan. Minimivolatiliteetti on etenkin yksi faktori, joka on menestynyt erityisen hyvin rajoittamalla asiakkaiden menetyksiä volatiilisilla markkinoilla.

iShares Edge MSCI Minimum Volatility UCITS ETF:t ovat tuottaneet vuoden 2020 ensimmäisen kolmen kuukauden aikana keskimäärin 4 prosenttia enemmän kuin niiden kantaindeksit, koska ne kärsivät vähemmän markkinoiden laskusta ja hyötyvät suurimmasta osasta markkinanousua. Defensiivinen toimintatapa on tuonut iShares UCITS Minimum Volatility -rahastoihin sijoituksia 0,8 miljardia dollaria vuoden 2020 ensimmäisen neljänneksen aikana. Vuonna 2019 siihen sijoitettiin 1,3 miljardia dollaria*.

Uudenlaisia ESG-tuotteita

BlackRockilla on johtoasema faktorisijoittamisessa, ja ESG-strategioiden kysyntä kasvaa. Nämä tekijät taustalla iSharesin uudet rahastot on kehitetty niin, että ne ovat entistä vastuullisempia, vähentävät hiiliriskiä mutta ne pääsevät markkinatuottoihin pienemmällä riskillä. Uudet rahastot käyttävät vertailuindeksinään MSCI Minimum Volatility ESG Reduced Carbon Target -indeksejä**. Uudet rahastot nostavat iSharesin vastuullisen sijoittamisen ETF:ien määrän yli sadan.

Kolme uutta ETF-rahastoa ovat:

• iShares EDGE MSCI World Minimum Volatility ESG UCITS ETF (MVEW): Rahaston kautta voi sijoittaa hajautetusti laajaan joukkoon kehittyneillä markkinoilla toimivia yhtiötä, joilla on toimintaa kansainvälisillä markkinoilla ja joiden volatiliteetti on vähäinen. Rahaston kulusuhde (TER) on 0,30 %. Rahasto on ESG-versio iShares EDGE MSCI World Minimum Volatility UCITS ETF (MVOL) -rahastosta.

• iShares EDGE MSCI Europe Minimum Volatility ESG UCITS ETF (MVEE): Rahasto on ESG-versio iShares EDGE MSCI Europe Minimum Volatility UCITS ETF (MVEU) -rahastosta. Se sijoittaa hajautetusti eurooppalaisiin yhtiöihin, joiden volatiliteetti on alhainen. Rahaston kulusuhde (TER) on 0,25 %.

• iShares EDGE MSCI USA Minimum Volatility ESG UCITS ETF (MVEA): Rahaston kautta voi sijoittaa hajautetusti yhdysvaltalaisiin yhtiöihin, joiden volatiliteetti on alhaisempi kuin Yhdysvaltojen osakemarkkinoilla yleisesti. Rahaston kulusuhde (TER) on 0,20 %. Rahasto on ESG-versio iShares Edge S&P 500 Minimum Volatility UCITS ETF (SPMV) -rahastosta.

Stephen Cohen, iSharesista EMEA-alueella vastaava johtaja BlackRockissa sanoo: “Kun sijoittajat arvioivat taktisia ja strategisia sijoituksiaan, ETF:ien rooli heidän salkuissaan kasvaa keskeiseksi, kun salkkuja muokataan yhä enemmän vastuullisuuskriteerit huomioiviksi. Vastuullisen sijoittamisen tuotevalikoimamme on kasvanut ennätystahtiin, ja keskitymme edelleen kattavimman ja innovatiivisimman ESG-ETF-tuotevalikoiman rakentamiseen vastataksemme sijoittajien tarpeisiin ennakoivasti.”

BlackRock ennustaa, että seuraavan kymmenen vuoden aikana sijoitukset vastuullisen sijoittamisen indeksi- ja ETF-rahastoihin kasvavat biljoonalla dollarilla yhteensä 1,2 biljoonaan dollariin. Tähän on neljä syytä***:

1)     Tieto vastuullisuuden vaikutuksista riskeihin ja tuottoihin– ESG-kriteerien vaikutuksista tuottoihin on yhä enemmän näyttöä, minkä ansiosta vastuullinen sijoittaminen kehittyy arvopohjaisesta arvojen ohjaamaan sijoittamiseen.

2)     Datan parantuminen kehittää indeksejä – Yritykset julkaisevat jatkuvasti enemmän tietoa vastuullisuuskäytännöistään, ja tieto on yhä yhdenmukaisempaa. Julkaistavan tiedon määrän lisääntymisen ansiosta vastuullisuusarviointeja tekevien ja tietoa koostavien yritysten sekä erikoistuneiden datan toimittajien seurannan kattavuus paranee, mikä puolestaan tehostaa vastuullisuusindeksien toimivuutta.

3)     Mahdollisuus käyttää ESG-tuotteita murto-osalla kustannuksista – iShares uskoo, että indeksoinnin ansiosta vastuulliselle sijoittamiselle tapahtuu sama kuin osake- ja joukkolainasijoittamiselle. Viime aikoihin asti vastuullisen sijoittamisen strategiat ovat olleet käytettävissä lähes yksinomaan ETF:iä kalliimpien aktiivisten strategioiden tai räätälöityjen omaisuudenhoitovaltuutusten kautta. Aktiivisesti hallinnoidun vastuullisen sijoittamisen rahaston palkkiot ovat viisinkertaiset verrattuna iSharesin vastuullisen sijoittamisen ETF-rahastoihin keskimäärin.

4)     Vastuullisia vaihtoehtoja kaikkiin salkkuihin– Indeksointi on parantanut sijoittajien edellytyksiä rakentaa koko salkkunsa vastuullisista rahastoista. Vastuullisuusindeksit antavat sijoittajille mahdollisuuden sulkea pois toimialoja, parantaa salkun ESG-luokitusta tai sijoittaa tietynlaisen tuloksen aikaansaamiseksi.

Philipp Hildebrand, BlackRockin varapuheenjohtaja sanoo: “Varojen valtava uudelleenallokointi vastuullisen sijoittamisen strategioihin on käynnissä ja kiihtyy vain nykyisestä. Vastuullisten strategioiden tuottojen kestävyys nykyisessä markkinaturbulenssissa ja paremmat tulokset ovat merkittäviä ja lisäävät vastuullisen sijoittamisen tuotteiden kysyntää. Indeksoidut tuotteet mahdollistavat vastuullisuuskriteerien laajamittaisen soveltamisen omaisuudenhoitajien ja instituutionaalisten sijoittajien salkkuihin ympäri maailman - ja tämä on vasta alkua”.

Klikkaa tästä lukeaksesi lisää kasvuennusteista.

Alkuperäinen lehdistötiedote kokonaisuudessaan alla. Mikäli käännöksessä on eroja alkuperäiseen tiedotteeseen, alkuperäinen tiedote pätee.

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iShares combines factor investing expertise with sustainability in new ESG factor ETF suite 

• Three minimum volatility UCITS exposures expand iShares sustainable line-up past 100
• iShares doubles sustainable growth forecast, highlighting four forces leading to $1.2trn in assets 

Helsinki, 23 April: iShares is broadening its range of exchange traded funds (ETFs) with three new products that combine environmental, social and governance (ESG) issues with the growing demand for minimum volatility factor strategies. The launch is another milestone in BlackRock’s commitment to making sustainability its standard for investing and expand choice in sustainable indexing, an industry that the firm expects to attract $1.2trn in new assets in the next decade.

Investment into ESG and minimum volatility strategies both continue to accelerate as market turmoil tests the resilience of portfolios. Inflows into global sustainable ETFs alone totaled $14.8bn in the Q1 of 2020, more than three times the Q1 2019 figure*. Clients have also increasingly turned to iShares factor strategies to target specific drivers of risk and return in their portfolios. Minimum volatility, most notably, is one style factor that has shined by limiting clients’ downside market exposure in volatile times.

Through the first three months of 2020, iShares Edge MSCI Minimum Volatility UCITS ETFs has provided clients with an average outperformance of 4% return compared to their parent indices taking less downside exposure while helping them capture most of the market upside. This defensive approach has helped attract $0.8bn in investor assets into iShares UCITS Minimum Volatility in Q1 2020, building on $1.3bn gathered in 2019*.

Breaking new ground in ESG

By combining BlackRock’s leadership in factor investing with increasing demand for ESG strategies, iShares’ new funds are designed to deliver an improved ESG profile and reduced carbon exposure while also achieving market-like returns with less risk. Each of the funds is benchmarked to MSCI Minimum Volatility ESG Reduced Carbon Target Indices**. These launches take iShares’ line-up of sustainable ETFs and index funds past 100.

The three new products are:

• iShares EDGE MSCI World Minimum Volatility ESG UCITS ETF (MVEW): This fund provides diversified exposure to a broad range of developed world companies with international market exposure and lower volatility characteristics. It carries a TER of 0.30% and is the ESG alternative to the iShares EDGE MSCI World Minimum Volatility UCITS ETF (MVOL).

• iShares EDGE MSCI Europe Minimum Volatility ESG UCITS ETF (MVEE): An ESG alternative to the iShares EDGE MSCI Europe Minimum Volatility UCITS ETF (MVEU), the fund focuses on diversified exposure to European companies with lower volatility characteristics and carries a TER of 0.25%.

• iShares EDGE MSCI USA Minimum Volatility ESG UCITS ETF (MVEA): provides diversified exposure to U.S companies with lower volatility characteristics relative to the broader U.S equity market. The fund carries a TER of 0.20% and is the ESG alternative to the iShares Edge S&P 500 Minimum Volatility UCITS ETF (SPMV).

Stephen Cohen, Head of iShares EMEA at BlackRock said: “As investors take stock of their tactical and strategic positioning, ETFs are playing a central role in portfolios that are increasingly tilted towards ESG criteria. We have seen record growth in our sustainable suite, and we remain focused on building the most comprehensive, innovative set of ESG ETFs to meet and anticipate the needs of investors.”

Over the next decade, BlackRock is forecasting assets invested in sustainable index funds and ETFs to grow by $1 trillion to $1.2 trillion, owing to four drivers***:

1)     Recognition that sustainability influences risk and returns– There is mounting evidence that ESG criteria are consequential for returns, which is enabling the evolution of sustainable investing from values-based to value driven.

2)     Better data leads to better indexes– Companies are increasingly disclosing more information about their ESG practices and that information is increasingly standardised. The greater disclosure means more comprehensive coverage from ESG rating firms, data aggregators and specialized data providers that in turn feeds into enhanced sustainable indices.

3)     Access to ESG at a fraction of the cost – iShares believes indexing will do for sustainable investing what it did for investing in stocks and bonds. Until recently, sustainable investment strategies were almost exclusively available through higher-fee active strategies or customized mandates. Globally, the average actively managed sustainable mutual fund fee is five times higher than the average iShares sustainable ETF.

4)     Sustainable choices for every portfolio– Indexing has created greater choice for investors to build their entire portfolio based on sustainable funds. Sustainable indices allow investors to screen out sectors and industries, improve the ESG ratings of their portfolio or invest in specific types of investment outcomes.

Philipp Hildebrand, Vice Chairman at BlackRock said: “The seismic reallocation of assets into sustainable investment strategies is underway and will only accelerate from here. The resilience of sustainable strategy returns amid the ongoing market turmoil, in delivering better portfolio outcomes, is notable and will further fuel demand for sustainable building blocks. Indexed products are enabling large scale integration of sustainable criteria into the portfolios of wealth managers and institutions across the globe, and this is only the start.”

Click here to read more about these growth projections.

-Ends-

 

Notes to editors:

*Source: BlackRock as at April 2020

**The environmental, social and governance (“ESG”) considerations discussed herein may affect an investment team’s decision to invest in certain companies or industries from time to time. Results may differ from portfolios that do not apply similar ESG considerations to their investment process.

*** Source: Reshaping Sustainable Investing, BlackRock, April 2020

 

About BlackRock

BlackRock’s purpose is to help more and more people experience financial well-being. As a fiduciary to investors and a leading provider of financial technology, our clients turn to us for the solutions they need when planning for their most important goals. As of March 31, 2020, the firm managed approximately $6.47 trillion in assets on behalf of investors worldwide. For additional information on BlackRock, please visit www.blackrock.com/corporate | LinkedIn: www.linkedin.com/company/blackrock.

About iShares

iShares unlocks opportunity across markets to meet the evolving needs of investors. With more than twenty years of experience, a global line-up of 900+ exchange traded funds (ETFs) and $1.85 trillion in assets under management as of March 31, 2020, iShares continues to drive progress for the financial industry. iShares funds are powered by the expert portfolio and risk management of BlackRock, trusted to manage more money than any other investment firm¹.

¹ Based on $6.47 trillion in AUM as of 3/31/20

Important Information

Risk Warnings

Investment in the products mentioned in this document may not be suitable for all investors. Past performance is not a reliable indicator of current or future results and should not be the sole factor of consideration when selecting a product or strategy.

Capital at risk.

The value of investments and the income from them can fall as well as rise and are not guaranteed. You may not get back the amount originally invested. The value of investments involving exposure to foreign currencies can be affected by exchange rate movements. We remind you that the levels and bases of, and reliefs from, taxation can change.

BlackRock has not considered the suitability of this investment against your individual needs and risk tolerance. The data displayed provides summary information. Investment should be made on the basis of the relevant Prospectus which is available from the manager.

In respect of the products mentioned this document is intended for information purposes only and does not constitute investment advice or an offer to sell or a solicitation of an offer to buy the securities described within. This document may not be distributed without authorisation from BlackRock.

Product Risks

iShares Edge MSCI Emerging Markets Minimum Volatility UCITS ETF USD (Acc)

Counterparty Risk, Currency Risk, Emerging Markets Risk, Equity Risk, Factor Focus Risk, Liquidity Risk, Volatility Risk

iShares Edge MSCI Europe Minimum Volatility UCITS ETF USD (Acc)

Counterparty Risk, Equity Risk, Factor Focus Risk, Index Methodology Risk, Volatility Risk

iShares Edge MSCI World Minimum Volatility UCITS ETF USD (Acc)

Counterparty Risk, Emerging Markets Risk, Equity Risk, Factor Focus Risk, Index Methodology Risk, Private Equity Securities Risk, Volatility Risk

iShares Edge S&P 500 Minimum Volatility UCITS ETF USD (Acc)

Counterparty Risk, Emerging Markets Risk, Equity Risk, Index Methodology Risk, Volatility Risk

Counterparty Risk

The insolvency of any institutions providing services such as safekeeping of assets or acting as counterparty to derivatives or other instruments, may expose the Share Class to financial loss.

Currency Risk

The Fund invests in other currencies. Changes in exchange rates will therefore affect the value of the investment.

Equity Risk

The value of equities and equity-related securities can be affected by daily stock market movements. Other influential factors include political, economic news, company earnings and significant corporate events.

Factor Focus Risk

Indices with a factor focus are less diversified than their parent index because they have predominant exposure to a single factor rather than the multiple factor exposure of most indices. Therefore they will be more exposed to factor related market movements. Investors should consider this fund as part of a broader investment strategy.

Liquidity Risk

Lower liquidity means there are insufficient buyers or sellers to allow the Fund to sell or buy investments readily.

Volatility Risk

The Fund tracks an index comprising securities with lower volatility historically. “Minimum volatility” in the Fund’s name refers to its underlying index exposure and not to its trading price. There is no guarantee that the trading price of its shares on exchanges will have low volatility

Index Methodology Risk

Although the Benchmark Index was created to select securities within the Parent Index for their recent price increases on the assumption that such increases will continue, there is no guarantee this objective will be achieved.

Private Equity Securities Risk

Private equity securities can be affected by daily stock market movements, political and economic news, company earnings and significant corporate events. Private equity companies may involve additional risks including higher levels of borrowing, unclear distribution of risk and losses within the private equity structure and constraints on buying and selling underlying investments quickly.

Regulatory Information

This material is for distribution to Professional Clients (as defined by the Financial Conduct Authority or MiFID Rules) only and should not be relied upon by any other persons.

Issued by BlackRock Advisors (UK) Limited, which is authorised and regulated by the Financial Conduct Authority ('FCA'), having its registered office at 12 Throgmorton Avenue, London, EC2N 2DL, England, Tel +44 (0)20 7743 3000. For your protection, calls are usually recorded. BlackRock is a trading name of BlackRock Advisors (UK) Limited. Please refer to the Financial Conduct Authority website for a list of authorised activities conducted by BlackRock.

In the event where the United Kingdom leaves the European Union without entering into an arrangement with the European Union which permits firms in the United Kingdom to offer and provide financial services into the European Union (“No Deal Brexit Event”), the issuer of this material is:

-BlackRock Advisors (UK) Limited for all outside of the European Economic Area; and

-BlackRock (Netherlands) B.V. for in the European Economic Area,

however, prior to a No Deal Brexit Event and where a No Deal Brexit Event does not occur, BlackRock Advisor (UK) Limited will be the issuer.

BlackRock (Netherlands) B.V.: Amstelplein 1, 1096 HA, Amsterdam, Tel: +31 020 549 – 5200, Trade Register No. 17068311. For more information, please see the website: www.blackrock.com. For your protection, telephone calls are usually recorded. BlackRock is a trading name of BlackRock (Netherlands) B.V..

iShares plc, iShares II plc, iShares III plc, iShares IV plc, iShares V plc, iShares VI plc and iShares VII plc (together 'the Companies') are open-ended investment companies with variable capital having segregated liability between their funds organised under the laws of Ireland and authorised by the Central Bank of Ireland.

Further information about the Fund and the Share Class, such as details of the key underlying investments of the Share Class and share prices, is available on the iShares website at www.ishares.com or by calling +44 (0)845 357 7000 or from your broker or financial adviser. The indicative intra-day net asset value of the Share Class is available at http://deutsche-boerse.com and/or http://www.reuters.com. A UCITS ETF’s units / shares that have been acquired on the secondary market cannot usually be sold directly back to the UCITS ETF itself. Investors who are not Authorised Participants must buy and sell shares on a secondary market with the assistance of an intermediary (e.g. a stockbroker) and may incur fees and additional taxes in doing so. In addition, as the market price at which the Shares are traded on the secondary market may differ from the Net Asset Value per Share, investors may pay more than the then current Net Asset Value per Share when buying shares and may receive less than the current Net Asset Value per Share when selling them.

For investors in Austria

The funds mentioned in this document are registered for public offer in Austria. The Sales Prospectuses for the Companies, Key Investor Information Document and other documents as well as the annual and semi-annual reports have been published in Austria and are available free of charge from UniCredit Bank AG Vienna Branch, Julius Tandler Platz 3, 1090 Vienna, Austria, the Austrian paying and information agent and are also available on the website www.ishares.at. Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus. The Companies intend to fulfil the requirements for treatment of all of their sub-funds as reporting funds. Therefore the Companies have an Austrian tax representative who calculates the Austrian Deemed Distributed Income figures once a year and files an electronic tax return with the Austrian Control Bank. However, it cannot be guaranteed that the requirements will be met in the future. The Companies reserve the right to give up the reporting fund status and to not undertake such tax filings.

For investors in Belgium

The funds mentioned in this document are not registered for public distribution in Belgium. Unless indicated otherwise, any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts copies of which can be obtained free of charge from www.ishares.com. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus. Summary of Belgian tax information for private investors: the tax on stock exchange transactions (TSET) is due on every sale and purchase on the secondary market, concluded or executed in Belgium: 0.12% (max. 1.300 EUR per transaction) for distributing shares and 1,32%(max. 4.000 EUR per transaction) for accumulating shares. Dividends received from distributing iShares ETF are subject to the Belgian withholding tax of 30%. For iShares ETFs investing directly or indirectly more than 25 % in interest-bearing assets (no taxation should occur for funds investing less than 25% directly or indirectly in interest bearing assets for holdings bought prior to 1 January 2018 and sold after this date,). For new holdings bought from 1 January 2018 investing directly or indirectly the rate is now more than 10% in interest-bearing assets. A 30 % tax applies (again, via a withholding or assessment notice) on the part of the amount corresponding to the so-called ‘interest component’ received (i.e. all the income deriving directly or indirectly, in the form of interest, capital gains or losses, from the return on assets invested in the debts), to the extent that this interest component relates to the period during which the beneficiary has held the shares.

For investors in Denmark

This document is directed at Professional Investors in Denmark only and the Funds are authorised by Finanstilsynet, the Danish Financial Supervisory Authority. Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts and the Danish country supplements. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus. Copies of all documentation can be obtained free of charge from offices of the paying agent at BlackRock (Netherlands) BV, Copenhagen Branch, Harbour House, Sundkrogsgade 21, 2100 København Ø, Denmark. This document is strictly confidential and may not be distributed without authorisation from BlackRock.

For investors in Finland

The funds mentioned are registered for public distribution in Finland and are authorised by the Finanssivalvonta (Fiva), the Financial Supervisory Authority (FIN-FSA), in Finland. Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus. This document is strictly confidential and may not be distributed without authorisation from BlackRock.

For investors in France

Any subscription for shares in a sub-fund of one of the companies will be carried out according to the conditions specified in the full Prospectus, Key Investor Information Document, the French Addendum and in the Supplements of Companies as the case may be. These documents can be obtained by contacting the paying agent of the Company: BNP Paribas Securities Services, 3 rue d'Antin, 75002 Paris, tel: 00 33 1 42 98 10 00 or by visiting the French part of the site www.iShares.eu. The companies are undertakings for collective investment in transferable securities (UCITS) governed by foreign laws and approved by the Financial Regulator in the home state as a UCITS complying with European regulations. The European Directive 2009/65/EC of July 13, 2009 on UCITS, as amended, establishes common rules in order to allow the cross-border marketing of UCITS which comply with it. This common foundation did not prohibit different methods of implementation. This is why a European UCITS may be marketed in France even though the activity of such scheme would not respect rules identical to those which govern the approval of this type of product in France. This sub fund has been authorized for marketing in France by the Autorité des Marchés Financiers. Please note that the distribution of shares of some sub funds of funds is not allowed in France. This document does not constitute an offer or a solicitation in relation to the shares of the funds.

For investors in Germany

The Sales Prospectus and Key Investor Information Document, as well as the annual and semi-annual reports are available free of charge from Commerzbank Kaiserplatz, 60311 Frankfurt am Main, Germany. The Companies intend to fulfil the prerequisites for treatment of their sub-funds as so-called "transparent funds" pursuant to §§ 2 and 4 of the German Investment Tax Act (Investmentsteuergesetz – InvStG). However, it cannot be guaranteed that the requirements will be met. The Companies reserve the right to give up the "transparent status" and to not undertake the necessary publications. Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus. Please note that important information about iShares VII funds is available in the current prospectus and other documents that can be obtained free of charge from the paying agent, Deutsche Bank AG Taunusanlage 12, 60325 Frankfurt am Main, Federal Republic of Germany.

For investors in Ireland

This document is strictly confidential and may not be distributed without authorisation from BlackRock. With respect to funds that are registered for public offer in Ireland, important information on the Companies is contained in the relevant Prospectus, Key Investor Information Document, and the most recent financial reports, which are available on our website www.iShares.com. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus.

For investors in Israel

BlackRock Investment Management (UK) Limited is not licensed under Israel’s Regulation of Investment Advice, Investment Marketing and Portfolio Management Law, 5755-1995 (the “Advice Law”). No action has been taken or will be taken in Israel that would permit a public offering or distribution of the products mentioned in this document to the public in Israel. The products mentioned in this document have not been approved by the Israel Securities Authority. In addition, the products mentioned in this document are not regulated under the provisions of Israel’s Joint Investment Trusts Law, 5754-1994 (the “Joint Investment Trusts Law”). This document has not been approved by the Israel Securities Authority and will only be distributed to Israeli residents in a manner that will not constitute “an offer to the public” under sections 15 and 15a of the Israel Securities Law, 5728-1968 (the “Securities Law”) or section 25 of the Joint Investment Trusts Law, as applicable.

This document and the products mentioned herein are being offered to those categories of investors listed in the First Addendum (the “Addendum”) to the Securities Law, (“Institutional Investors”); in all cases under circumstances that will fall within the private placement or other exemptions of the Joint Investment Trusts Law, the Securities Law and any applicable guidelines, pronouncements or rulings issued from time to time by the Israel Securities Authority. This document may not be reproduced or used for any other purpose, nor be furnished to any other person other than those to whom copies have been sent. Nothing in this document should be considered investment advice or investment marketing as defined in the Regulation of Investment Advice, Investment Marketing and Portfolio Management Law, 5755-1995. This document does not constitute an offer to sell or solicitation of an offer to buy any securities, nor does it constitute an offer to sell to or solicitation of an offer to buy from any person or persons in any state or other jurisdiction in which such offer or solicitation would be unlawful, or in which the person making such offer or solicitation is not qualified to do so, or to a person or persons to whom it is unlawful to make such offer or solicitation.

For investors in Italy

Any application for shares in the funds is on the terms of the Prospectus for the Companies. The Shares of certain subfunds in the Companies have been admitted to listing in Italy and are currently listed on the Mercato Telematico Fondi of Borsa Italiana S.p.A. The list of the sub-funds listed in Italy, the Prospectus, of the Companies, the Documento di quotazione of the iShares funds, the latest annual and semi annual report of the Companies are published (i) on the Companies' internet website at the address www.iShares.com (ii) on Borsa Italiana S.p.A's website at the address www.borsaitalia.it. These documents are available for the public in Italian version with certification that such documents are a faithful translation of the original documents. Investors are entitled to receive free of charge, even at home, a copy of the above documents, upon written request forwarded to the Companies. For comprehensive information on the expenses charged to a fund and fees applicable to investors, see the Documento di quotazione and the Prospectus. Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus. Further information about the Fund and the Share Class, such as details of the key underlying investments of the Share Class and share prices, is available on the iShares website at www.ishares.com or by calling +44 (0)845 357 7000 or from your broker or financial adviser. The indicative intra-day net asset value of the Share Class is available at http://deutsche-boerse.com and/or http://www.reuters.com. Investors who are not Authorised Participants must buy and sell shares on a secondary market with the assistance of an intermediary (e.g. a stockbroker) and may incur fees and additional taxes in doing so. In addition, as the market price at which the Shares are traded on the secondary market may differ from the Net Asset Value per Share, investors may pay more than the then current Net Asset Value per Share when buying shares and may receive less than the current Net Asset Value per Share when selling them.

For investors in Luxembourg

The Companies have been notified to the Commission de Surveillance du Secteur Financier in Luxembourg in order to market their shares for sale to the public in Luxembourg and the Companies are notified Undertaking in Collective Investment for Transferable Securities (UCITS). The Companies have not been listed on the Luxembourg Stock Exchange, investors should contact their broker for further information. Investment is subject to the Prospectus, Key Investor Information Document and all documents (the main/umbrella Prospectus, the Supplement[s], the latest and any previous annual and semi-annual reports of the Companies and the Memorandum and Articles of Association of the Companies) will be available in the Luxembourg, free of charge, from the offices of the Local Agent, BNP Paribas Securities Services, Luxembourg Branch 33, rue de Gasperich Howald – Hesperange L-2085 Luxembourg or by visiting the website on www.iShares.com. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus.

For investors in Norway

The funds mentioned are registered for public distribution in Norway and are authorised by Kredittilsynet, the Financial Supervisory Authority of Norway. Any application for shares in the funds is on the terms of the Prospectus, Key Investor Information Document for the Companies. Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus. This document is strictly confidential and may not be distributed without authorisation from BlackRock.

For investors in Portugal

The commercialization of the groups of funds (“agrupamentos de fundos”) iShares PLC, iShares II PLC, iShares III PLC, iShares V PLC, iShares VI PLC and iShares VII PLC in Portugal has been duly authorized by the Portuguese Securities Commission (“Comissão do Mercado de Valores Mobiliários” or the “CMVM”), as published in the Monthly Bulletin of CMVM no 243, of July 2013. Investments on these groups of funds and correspondent sub-funds shall be based on their respective prospectuses, Key Investor Information Documents (KIID), and on the latest half-yearly report and unaudited accounts and/or annual report and audited accounts, and other mandatory informative documents. These documents can be obtained, free of charge, at the registered office of the Company’s [representative] BEST – Banco Electrónico de Serviço Total, S.A., with registered office in Praça Marquês de Pombal, 3 - 3rd floor, 1250-161 Lisbon and on the website iShares.com. It is especially recommended to read the specific warnings and risk factors of the KIID and Funds’ Prospectus.

For investors in Spain

The funds mentioned are registered for public distribution in Spain.The sales Prospectus has been registered with the Spanish Securities Market Commission (Comisión Nacional del Mercado de Valores ('CNMV')). The funds which are registered in the official registry of the Spanish Securities and Exchange Commission (CNMV) are iShares plc (registration number 801), iShares II plc (registration number 802) and iShares III plc (registration number 806), iShares IV plc (registration number 1402), iShares V plc (registration number 977), iShares VI plc (registration number 1091), iShares VII plc (registration number 886) and iShares (Lux) (registration number 905). The official registry, CNMV, must always be checked to see which sub funds of the funds mentioned are registered for public distribution in Spain. Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts, copies of which can be obtained free of charge at www.iShares.es. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus. This document contains products or services of BlackRock, Inc. (or affiliates thereof) that might be offered directly or indirectly within the Andorran jurisdiction, and it should not be regarded as solicitation of business in any jurisdiction including the Principality of Andorra.

For investors in Sweden

The Funds mentioned herein are registered for public distribution in Sweden and are authorised by Finansinspektionen, the Swedish Financial Supervisory Authority. Any application for shares in the funds is on the terms of the Prospectus, Key Investor Information Document, for the Companies. Important information relating to the Companies is contained in the relevant Prospectus, Key Investor Information Document and other documents, copies of which can be obtained free of charge from offices of the paying agent BlackRock (Netherlands) BV, Stockholm Filial Norrlandsgatan 16, 1 floor, SE-111 43 Stockholm, Sweden. Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus.

For investors in Switzerland

The iShares ETFs are domiciled in Ireland, Switzerland and Germany. BlackRock Asset Management Schweiz AG, Bahnhofstrasse 39, CH-8001 Zurich, is the Swiss Representative and State Street International GmbH, Munich, Zurich Branch, Beethovenstrasse 19, CH-8002 Zürich the Swiss Paying Agent for the foreign iShares ETFs registered in Switzerland. The Prospectus, the Prospectus with integrated fund contract, the Key Investor Information Document, the general and particular conditions, the Articles of Incorporation, the latest and any previous annual and semi-annual reports of the iShares ETFs domiciled or registered in Switzerland are available free of charge from BlackRock Asset Management Schweiz AG. Investors should read the fund specific risks in the Key Investor Information Document and the Prospectus.

For investors in the UK

Any decision to invest must be based solely on the information contained in the Company’s Prospectus, Key Investor Information Document and the latest half-yearly report and unaudited accounts and/or annual report and audited accounts. Investors should read the fund specific risks in the Key Investor Information Document and the Company’s Prospectus.

Restricted Investors

This document is not, and under no circumstances is to be construed as an advertisement or any other step in furtherance of a public offering of shares in the United States or Canada. This document is not aimed at persons who are resident in the United States, Canada or any province or territory thereof, where the companies/securities are not authorised or registered for distribution and where no prospectus has been filed with any securities commission or regulatory authority. The companies/securities may not be acquired or owned by, or acquired with the assets of, an ERISA Plan.

Index Disclaimers

iShares funds are not sponsored, endorsed, or promoted by MSCI, and MSCI bears no liability with respect to any such funds or any index on which such funds are based. The Prospectus contains a more detailed description of the limited relationship that MSCI has with BlackRock and any related funds.

The Index is a product of S&P Dow Jones Indices LLC, a division of S&P Global, or its affiliates (“SPDJI”) and has been licensed for use by BlackRock. Standard & Poor’s® and S&P® are registered trademarks of Standard & Poor’s Financial Services LLC, a division of S&P Global (“S&P”); Dow Jones® is a registered trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”); and these trademarks have been licensed for use by SPDJI and sublicensed for certain purposes by BlackRock. The iShares ETF is not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, S&P, their respective affiliates, and none of such parties make any representation regarding the advisability of investing in such product(s) nor do they have any liability for any errors, omissions, or interruptions of the Index.

Any research in this document has been procured and may have been acted on by BlackRock for its own purpose. The results of such research are being made available only incidentally. The views expressed do not constitute investment or any other advice and are subject to change. They do not necessarily reflect the views of any company in the BlackRock Group or any part thereof and no assurances are made as to their accuracy.

This document is for information purposes only and does not constitute an offer or invitation to anyone to invest in any BlackRock funds and has not been prepared in connection with any such offer.

© 2020 BlackRock, Inc. All Rights reserved. BLACKROCK, BLACKROCK SOLUTIONS, iSHARES, BUILD ON BLACKROCK and SO WHAT DO I DO WITH MY MONEY are registered and unregistered trademarks of BlackRock, Inc. or its subsidiaries in the United States and elsewhere. All other trademarks are those of their respective owners.