BlackRock: Following the launch of its first Paris-aligned UCITS ETFs in April 2021, and in line with its commitment to provide clients with a broad set of sustainable investment tools, BlackRock has launched two additional Paris-aligned ETFs:
iShares MSCI EMU Paris-Aligned Climate UCITS ETF (EMPA)
iShares MSCI Europe Paris Aligned UCITS ETF (EUPB)
The Paris-aligned indices have been designed to align with a 1.5°C scenario and meet the minimum standards of the EU Paris-Aligned Benchmark label, while staying as close as possible to the parent benchmark, offering broad and diverse exposures.
This requires an immediate carbon intensity reduction of at least 50% versus the parent universe at inception, followed by a minimum 7% decarbonisation year-on-year reduction.
The ETFs, which listed on the Euronext Amsterdam exchange on 29 July, both have a TER of 0.15% and are categorised as Article 9 under SFDR, consistent with BlackRock’s expectation that 70% of its fund launches and repositionings in Europe this year will qualify as Article 8 or 9.
The firm’s Paris-aligned ETF range now consists of four funds, including the iShares MSCI World Paris-Aligned Climate UCITS ETF (WPAB) and iShares S&P 500 Paris-Aligned Climate UCITS ETF (UPAB) which launched in April this year.
The range provides investors with transparent and cost-effective asset allocation tools by which they can align their portfolio with the transition to a net-zero economy, consistent with the objectives of the Paris Agreement.