State Street launches ESG-screened ETF

State Street Global Advisors has launched an S&P 500 exchange-traded fund (ETF) that will exclude companies on environmental, social and governance (ESG) grounds.

The strategy will track the recently launched S&P 500 ESG Exclusion II index that has been devised to exclude companies based on data from ESG research firm Sustainalytics.

Reviewed on a quarterly basis, the index uses exclusion criteria aimed at eliminating exposure to controversial weapons, civilian firearms, tobacco firms and the coal industry.

It is also designed to screen out companies that do not comply with the ten principles of the UN Global Compact – a non-binding pact that encourages business to adopt more sustainable practices.

Mandy Chiu, head of ETFs at the asset manager, said: “It is clear investors are increasingly focused on seeing ESG concerns addressed in their portfolios and want to take advantage of the many benefits offered by ETFs to do this.”

The SDPR S&P 500 ESG Screened Ucits ETF has been listed on Xetra and was set to be listed on Euronext Amsterdam and Borsa Italiana on December 4. It will also be listed in Switzerland.

©2019 funds europe

HAVE YOU READ?

THOUGHT LEADERSHIP

The tension between urgency and inaction will continue to influence sustainability discussions in 2024, as reflected in the trends report from S&P Global.
FIND OUT MORE
This white paper outlines key challenges impeding the growth of private markets and explores how technological innovation can provide solutions to unlock access to private market funds for a growing…
DOWNLOAD NOW

CLOUD DATA PLATFORMS

Luxembourg is one of the world’s premiere centres for cross-border distribution of investment funds. Read our special regional coverage, coinciding with the annual ALFI European Asset Management Conference.
READ MORE

PRIVATE MARKETS FUND ADMIN REPORT

Private_Markets_Fund_Admin_Report

LATEST PODCAST