iShares Europe Defence UCITS ETFIndex, costs, backtest, listings and taxation

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The Share Class is a share class of a Fund which aims to achieve a total return, through a combination of capital growth and income on the Fund’s assets, which reflects the return of the STOXX Europe Targeted Defence Index, the Fund’s benchmark index (“Index”). The Share Class, via the Fund, is passively managed and aims to invest so far as possible and practicable in the equity securities (e.g. shares) that make up the Index. The Index is a free-float adjusted market capitalisation weighted index that comprises European equity securities of companies included in the STOXX Europe AC Universal All Cap Index (the "Parent Index") which receive revenue from business activities relating to military equipment and services. To be eligible for inclusion in the Index companies must (i) have a 3 month median daily traded volume (MDTV) greater than or equal to €1 million (EUR) (ii) have a free float market capitalisation greater than or equal to €200 million (EUR) and (iii) meet the inclusion criteria defined by their revenue exposure to military equipment and services as determined by the index provider. Free float-adjusted market capitalisation is the share price of a company multiplied by the number of shares readily available in the market. The Index selects companies from the Parent Index determined to derive a minimum percentage of revenue from "Military Equipment and Services" as described in the prospectus for the Fund. The companies are further assigned to one of three tiers (High Revenue Tier, Medium Revenue Tier or Low Revenue Tier) depending on how much of their revenue comes from Military Equipment and Services. The index provider will seek to allocate a minimum proportion of the Index to each of the three revenue tiers while seeking to weight the Index to achieve a higher exposure to those companies in the High and Medium revenue tiers (based on thresholds set out in the index methodology). The Index seeks to exclude companies classified as non-compliant with the United Nations Global Compact (UNGC) Principles and excludes issuers deemed by the index provider to be involved in controversial weapons. Companies will also be excluded if data in respect of involvement in controversial weapons or compliance with UNGC Principles is unavailable. The Index rebalances on an annual basis. In addition, on a monthly basis, current constituents of the Index are screened for their involvement in UNGC and controversial weapons, and companies which are no longer eligible will be removed from the Index. The Fund intends to replicate the Index by holding equity securities, which make up the Index, in similar portions to it. The Investment Manager may use financial derivative instruments (“FDIs”) (i.e. investments the prices of which are based on one or more underlying assets) to help achieve the Fund’s investment objective. FDIs may be used for direct investment purposes. The Fund may also engage in short-term secured lending of its investments to certain eligible third parties to generate additional income to off-set the costs of the Fund. The price of equity securities fluctuates daily and may be influenced by factors affecting the performance of the individual companies issuing the equities, as well as by daily stock market movements, and broader economic and political developments which in turn may affect the value of your investment. The relationship between the return on your investment, how it is impacted and the period for which you hold your investment is considered below (see “How long should I hold it and can I take my money out early?”).

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The depositary of the Fund is State Street Custodial Services (Ireland) Limited. Further information about the Fund can be obtained from the latest annual report and half-yearly reports of the iShares V plc. These documents are available free of charge in English and certain other languages. These can be found, along with other (practical) information, including prices of units, on the iShares website at: www.ishares.com or by calling +49 89427295800 or from your broker or financial adviser.

Your shares will be accumulating shares (i.e. income will be included in their value). Your shares will be denominated in Euro, the Fund's base currency. The shares are listed and traded on various stock exchanges. In normal circumstances, only authorised participants may buy and sell shares directly with the Fund. Investors who are not authorised participants (e.g. select financial institutions) can generally only buy or sell the shares on the secondary market (e.g. via a broker on a stock exchange) at the then prevailing market price. The value of the shares are related to the value of the underlying assets of the Fund, less costs (see “What are the costs?” below). The prevailing market price at which the shares trade on the secondary market may deviate from the value of the Shares. Indicative net asset value is published on relevant stock exchanges websites.

Intended retail investor:The Fund is intended for retail investors with the ability to bear losses up to the amount invested in the Fund (see “How long should I hold it and can I take my money out early?”).

Insurance benefits:The Fund does not offer any insurance benefits.

Countries

• Finecozero on buys (single orders and savings plan) — promo list renewed monthly: check it is still listed
• XTBzero (up to €100,000 monthly volume, unreachable for a retail plan); fractions available in plans