The STHH ETF is designed to track the total return of the underlying company's local common shares. It builds exposure to a specific overseas semiconductor company by investing in the underlying company's depositary receipts and using a currency swap that manages dollar and euro exchange rate movements.

It suits investors who want to understand a specific semiconductor company's business environment and currency variables together, and who are considering concentrated overseas equity exposure rather than a broad index.

It is an actively managed ETF operated under the ADR Hedged approach.

This product uses a strategy that centers on the underlying company's depositary receipts and aims to reflect the share price performance of the local market. The currency swap is a tool for managing the impact of exchange rate movements between the dollar and the euro. Unlike diversified index-tracking products, the ETF can be sensitive to the individual business environment of a specific underlying asset.

• A structure that uses a specific overseas semiconductor company's depositary receipts together with a currency management tool
• Concentrated exposure that requires watching changes in the semiconductor supply chain and in demand for automotive and industrial electronics

Assets under management (AUM) stand at $2.2M, and the total expense ratio is 0.19% per year.

Before trading, check the trading volume and bid-ask spread yourself. Because the structure is concentrated in a specific underlying asset, it is hard to apply the same liquidity expectations as for diversified products, and the fee level should also be reviewed alongside similar products.

The performance of the STHH ETF can be affected by demand across the semiconductor supply chain to which the underlying company belongs, by changes in orders in the automotive and industrial electronics segments, and by the currency environment. Because it is concentrated in a single company, keep in mind that it may move in a different direction from broad market indexes.

Fund flows into this product may vary with market perception of the specific company and with demand for exchange rate management. Trading conditions can change with market circumstances, so it is important to check order types and execution conditions and to confirm that the ETF fits a long-term holding purpose.

The product is distinctive for designing exposure to a specific company through an exchange rate management structure, but investors must also accept single-asset concentration and the possibility of changing trading conditions.

In the automated comparison table, the DRAM ETF focuses on the memory industry theme and the SECT ETF on a sector rotation strategy. The AVRE ETF covers real estate assets, the VOLT ETF an electrification theme, and the CANC ETF an oncology theme, so their underlying exposure and management character differ from those of the STHH ETF. It is more appropriate to use these products as comparison references for differences in theme and asset class than as direct substitutes.

Before buying, confirm whether the STHH ETF uses a structure that combines a specific company's depositary receipts with a currency management tool. The holdings list shows the STHH ETF and the CM ETF, so you need to check from the documentation whether the actual underlying exposure matches the holdings list.

Because the structure is concentrated in a single company and in semiconductor industry conditions, the underlying asset's earnings, supply chain changes, and demand for automotive and industrial electronics can all have an effect. The currency management tool aims to reduce exchange rate movements but does not guarantee a complete offset, and changes in trading conditions can also affect investment results.

The STHH ETF is a product that investors who want overseas equity exposure to a specific semiconductor company together with an exchange rate management structure can consider. However, because it differs in character from diversified ETFs, you should check underlying company concentration, currency management costs, trading conditions, and the semiannual distribution policy before deciding its role in your portfolio.